"Looking ahead, Japan's economy will probably lose steam"
- Kohei Okazaki, an economist at Nomura Securities Co.
Japan's industrial production unexpectedly tumbled in July, said the Trade Ministry on Friday. Production retreated 1.2 per cent from June, when it rose 0.4 per cent.
"This could indicate that the trade balance won't be recovering for the time being, which could be considered a yen-weakening factor," said Daisuke Karakama, market economist and vice president of Forex sales at Mizuho Corporate Bank.
"Looking ahead, Japan's economy will probably lose steam," said Kohei Okazaki, an economist at Nomura Securities Co. in Tokyo. "Overseas demand is slowing, affecting production and capital spending."
The Nikkei 225 Stock Average retreated 1.60 per cent, or 143.87 points, to 8,839.91. The broader Topix Index tumbled 1.63 per cent, or 12.15, to 731.64.
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