Japan Retail Sales Unexpectedly Rise


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Retail sales in Japan increased 1.8% year-on-year in January 2026, rebounding from a 0.9% decline in December and defying market expectations for a 0.4% drop. This was the fastest pace of growth since June, supported by recent fiscal stimulus from the government in Tokyo, including targeted consumption vouchers and tax incentives aimed at boosting household spending. On a month-on-month basis, retail sales rose 4.1%, reversing a 2.0% fall in December and marking the strongest monthly gain since September 2019.




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