Japan enjoys foreign investment returns

TOKYO – Japan’s current account surplus in July beat forecasts as growing returns on overseas investments helped offset rising oil costs while the labour market showed more signs of improving, official data showed yesterday.

But it was not all good news, as Japan confirmed a sharp drop in industrial output in July. Earlier in the week, the government also reported a much bigger than expected fall in machinery orders for July, sparking concerns that crucial corporate capital spending might be in trouble.The current account surplus in July rose 7,1 per cent year-on-year to 1,81 trillion yen (US$15,4 billion), beating average market forecasts for 1,78 trillion yen, the finance ministry said.Nampa-AFPEarlier in the week, the government also reported a much bigger than expected fall in machinery orders for July, sparking concerns that crucial corporate capital spending might be in trouble.The current account surplus in July rose 7,1 per cent year-on-year to 1,81 trillion yen (US$15,4 billion), beating average market forecasts for 1,78 trillion yen, the finance ministry said.Nampa-AFP