• Japan Overall household spending for August: -1.6% y/y (vs. expected +0.2%)
  • Japan August unemployment rate: 4.1% (vs. expected 3.8%)
  • Japan August Job-to-applicant ratio: 0.95 (vs. expected 0.95)

Household spending is a very poor result, and a rise in unemployment.

While we still await the BOJ Tankan survey, it appears that Japanese PM Abe has already made up his mind to hike the sales tax in April next year. If there was any doubt about the decision then this data would have added to it – but, its unlikely to alter the government’s course.

USD/JPY a little lower on the announcement, but tiny move.