42 months of growth stalls as Japan’s factory output fell 1.2% in August

Japan’s economy weakened sharply in August as industrial production and consumer spending both fell, creating new risks for policymakers. Government figures released Tuesday by the Ministry of Economy, Trade and Industry showed factory output down 1.2% from July, worse than the 0.8% fall economists expected. Retail sales slipped 1.1% from a year earlier, the first annual drop in 42 months.