"This is another sign that growth is slowing, and reconfirms the weakness of business activity and domestic demand"
- Junko Nishioka, chief economist at RBS Securities Japan Ltd.
Japanese household mood deteriorated last month, posting the second consecutive month of decline, a sign economic uncertainty weighed on sentiment. According to the report, made by the Cabinet Office, Japanese consumer confidence fell to 39.7 last month from 40.1 in September after a temporary rise in August. At the same time, analysts' had expected household mood to rise 39.7 last month.
"There are no positive signs in Japan's economy," as domestic demand slumps and external demand remains weak, said Azusa Kato, an economist at BNP Paribas SA in Tokyo. "The economy will probably contract for two consecutive quarters through the end of the year."
"This is another sign that growth is slowing, and reconfirms the weakness of business activity and domestic demand," said Junko Nishioka, chief economist at RBS Securities Japan Ltd. in Tokyo.
The Nikkei 225 Stock Average plummeted 0.82 per cent, or 71.97 points, to 8,685.63. The broader Topix Index plunged one per cent, or 7.29 points, to 723.45.
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