Japan's inflation-adjusted wages fell in August after two months of increases during the summer bonus season, while household spending also declined, data showed on Tuesday, knocking chances of the central bank raising interest rates any time soon.
Real wages in the world's fourth-largest economy fell 0.6% in August from the same month a year earlier, according to the Ministry of Health, Labor and Welfare.
Separate data showed household spending declining 1.9% from the year-earlier in August, potentially raising doubts about the strength of private consumption, which accounts for more than half of Japan's economy.
The fall, however, was smaller than the market estimate for a 2.6% drop based on a Reuters poll, and on a seasonally adjusted basis, spending rose 2.0% from the previous month, marking the fastest pace of increase in a year.
Those payments rose 2.7% in August versus a revised 6.6% in July and 7.8% in June.
Organizations:
Ministry of Health, Labor, Welfare