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Annualized QoQ Change in Preliminary Quarterly Real GDP in Japan

Country:
JPYJapan
Importance:
★★★
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Market Impact of Economic Indicator Releases
To understand the market impact of economic indicator releases, this metric represents the relative price change over a specific period following the release.
Formula: (Close price N minutes after the release - Open price at the time of the release) / Open price at the time of the release
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About Annualized QoQ Change in Preliminary Quarterly Real GDP in Japan

The quarter-on-quarter real Gross Domestic Product (GDP, preliminary estimate) annualized conversion is an indicator that shows how much Japan's total economic activity for a specific quarter has increased or decreased at an annualized rate compared to the same quarter of the previous year. This data is released quarterly by the Cabinet Office and provides initial preliminary figures.

The annualized preliminary estimate is useful for quickly understanding how much the economy has grown or stagnated over a short period. An increase in GDP indicates economic expansion, potentially leading to increased corporate profits and employment. Conversely, a decrease in GDP suggests economic stagnation or contraction, which could result in reduced corporate profits and employment.

This data serves as crucial reference material for policymakers to evaluate the health of the economy and formulate appropriate monetary and fiscal policies. For example, if GDP shows strong growth, the central bank may consider raising interest rates to mitigate inflation risks. Conversely, if GDP is declining, there may be a need to strengthen economic stimulus measures. This information is also vital for businesses and investors to formulate economic outlooks.

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