Japan says economy contracted 7.1 percent in 2Q

http://www.thenewstribune.com/2014/09/07/3367291/japan-says-economy-contracted.html?sp=/99/261/

Japan says economy contracted 7.1 percent in 2Q
By ELAINE KURTENBACH
AP Business Writer
September 7, 2014 Updated 15 minutes ago

TOKYO — Japan's economy shrank more sharply in the second quarter than first estimated and the latest indicators suggest only a modest bounce back since then.

The world's third-largest economy contracted at an annualized rate of 7.1 percent in the April-June quarter, according to updated government figures Monday. The initial estimate released earlier this month said the economy contracted 6.8 percent. Business investment fell more than twice as much as first estimated.

The economy's contraction was expected after Japan increased its sales tax from 5 percent to 8 percent on April 1.

So far, data for the current July-September quarter suggest any rebound in growth is likely to be modest and slow in materializing.