Japanese economy disappoints

Japan's economy did not fare as well as expected in the July-September quarter.

Japan Economy Up 0.1 Pct. in New Quarter
Japan's economy expanded a weaker-than-expected 0.1 percent in the July-September quarter, as exports that had driven growth in the past quarters barely rose, the government said Friday.

The Cabinet Office said Japan's gross domestic product - or the value of goods and services produced in a nation - grew at an annualized rate of 0.3 percent in the three months ended Sept. 30, from the previous quarter. That marked six straight quarters of growth...

[E]xports grew 0.4 percent, as a demand for autos and machinery failed to grow... Consumer spending went up 0.9 percent... The unemployment rate fell to 4.6 percent in September...

Yesterday, the Cabinet Office had reported that core private-sector machinery orders fell 8.4 percent in the latest quarter from the previous quarter, reflecting a lack of capital spending. The good news from today's report, I guess, is that consumer spending, up 0.9 percent, was relatively robust.