The Japanese economy grew at its fastest pace in over two years in the three months through the end June, recording a sixth straight quarter of expansion according to official data unveiled earlier on Monday. Gross domestic product increased at an annualized pace of 4.00% during the second quarter per preliminary estimates released by the country’s Cabinet Office. That pace of growth came in well above the revised growth figure of 1.50% recorded during the first quarter and easily topped the consensus forecast of 2.50%.
On a quarterly basis, GDP rose 1.00% versus a revised 0.40% increase experienced in the previous quarter and far above the consensus estimate of a 0.60% incline. The Yen reaction was predominantly negative in response to the latest GDP numbers, with the USDJPY pair rallying higher to around the 109.550-mark ahead of the European market open.