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Japan's Economy Shrank at the Fastest Rate in Five Years in October-December 2019

Professor of Financial Economics and Part-time Value Investor, Transfin.
Feb 24, 2020 2:37 PM 2 min read
Editorial

Japan’s economy shrank at the fastest rate in five years in October-December 2019.

 

WORLD

Japan’s economy shrinks at fastest pace since 2014.

Loss in Japan

The world’s third-largest economy has seen brighter days.

 

Japan’s economy shrank at the fastest rate in five years in October-December 2019. Annualised GDP fell by a steep 6.3% in this period, raising fears the country could fall into recession. This is the first time GDP shrank in more than a year and the worst fall since 2014, when GDP plummeted by 7.4%.

 

A major typhoon, a sales tax rise and weak global demand were factors that worked against Japan’s prospects at the end of last year. And now, it also has to deal with fallout from the coronavirus outbreak. [BBC News]

 

The NBA’s standoff with the Chinese government cost it “hundreds of millions”.  

When You Break Beijing’s Rules

The National Basketball Association (NBA) is the premier men’s professional basketball league in the world. Four months ago, it became embroiled in a raging controversy with the Chinese government after one of its executives tweeted in support of the pro-democracy protestors in Hong Kong. China promptly cut ties with competing teams and NBA games disappeared from the airwaves of its state television.

 

The financial loss this strange standoff has inflicted on the NBA has only recently come into focus. It runs in the hundreds of millions - “probably less than $400m”, as NBA commissioner Adam Silver recently put it. [WSJ]

FIN.

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