Japan is moving towards recession
The recovery of the Japanese economy, which was supposed to be supported by huge investments in infrastructure damaged by the huge earthquake that ruined much of the northern part of the country, has not materialized.
Japan's Trade Ministry reported that industrial production fell 0.1% in June from May. Production should ramp up as large Japanese plants like those owned by the car companies come back online.
International and domestic demand for Japanese manufactured goods, however, is not rising.
The positive rebuilding effects of Japan probably have been offset by the recession in Europe and the rapid slowing of the economies of China and the United States.
Japan's economy is not robust enough for internal business and consumer demand to offset a lack of exports.
Now,, Japan joins the list of major economies headed towards recession in Y 2012.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster's Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.