Japan hit by fall in factory output


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Financial Times
Breaking news
Friday March 29 2013

Breaking News
 
Japan hit by fall in factory output
The challenge facing Japan's new leadership in escaping from economic stagnation and deflation was underscored on Friday as data showed further declines in consumer prices and an unexpected contraction in factory output.

Core consumer prices fell 0.3 per cent in February compared with a year earlier, suggesting the Bank of Japan and its new governor, Haruhiko Kuroda, will need to ease policy aggressively if it hopes to meet a goal of generating 2 per cent inflation in two years.

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