Japan's Household Spending Declines for Seventh Straight Month

Japan's household spending has declined for the seventh consecutive month, according to data released by the internal affairs ministry on Friday. Consumer spending dropped by 3.3% year-on-year in June, exceeding market forecasts of a 1% rise.

The seasonally adjusted monthly decrease was even more pronounced at 6.4%, versus an estimated drop of 3.1%. This decline is likely to be scrutinized by the Bank of Japan as it considers raising interest rates as early as September.

On a positive note, real wages in Japan have been increasing for six consecutive months, with a growth rate of 1.6% in June compared to the same period last year.