Japan's Q2 GDP Revised Upward, Bolstering Bank of Japan Rate Hike Expectations

Japan's economy expanded at an annualized rate of 1.4% in the second quarter, a revision upward from initial estimates, supported by stronger business spending. This, coupled with a 2.4% rise in inflation-adjusted real wages in July, the largest increase since May 2021, reinforces market expectations for a Bank of Japan interest rate hike in September.