AI Data Insight
According to the latest data, Japan's workers' household consumption expenditure rebounded to 322,866 yen in July 2026, an increase of about 4% from the previous month. However, affected by high inflation and the depreciation of the yen, macroeconomic real household spending fell by 3.6% year-on-year, missing expectations and shrinking for the eighth consecutive month. The sluggish domestic demand may interfere with the Bank of Japan's future pace of monetary normalization.