- Hiroshi Miyazaki, chief economist at Shinkin Asset Management Co
Japan's economy contracted less than the government's initial estimate in the fourth quarter, improving growth prospects. Gross domestic product fell 0.2 points from the previous three months, said the Cabinet Office on Thursday.
"The economy will resume growing in the first quarter as exports increase and as rebuilding after the earthquake proceeds. The economic recovery will continue into the new fiscal year starting from April," said Hiroshi Miyazaki, chief economist at Shinkin Asset Management Co in Tokyo.
"There are a lot of risk factors, such as a strong yen and Europe's debt crisis, but these risks have been receding."
Japanese stocks rose sharply on Thursday after the U.S. private sector added more jobs than expected. The Nikkei 225 gained 2.01%, or 192.90, to 9,768.96. The broader Topix rose 1.63%, or 13.45, to 836.16.
© Dukascopy Bank