Not happy, June ...... (one for the Aussies)

Japan Labor Cash earnings (for June) -0.4% y/y .... huge miss

  • expected +0.5%, prior +0.6%

Real cash earnings -0.8% y/y ..... huge miss ... fastest rate of falling in 2 years

  • expected +0.1% y/y, prior flat at 0.0%

Despite stronger indications from indicators on Japanese growth, a pickup in price and wage inflation is elusive. Slow (or no, or negative) wage growth weighs on consumption/consumer spending.

This data today is poor indeed. A negative yen input, the BOJ won't be backing away for easy policy any time soon based on results like this.

Yen little changed, updates:

More detail:

  • overtime pay -0.2% y/y
  • total cash earnings fall for the first time in 13 months


Not happy, Jan