Japan’s economy unexpectedly contracted for a second quarter at the end of 2023 due to anemic domestic demand, slipping into recession and clouding the Bank of Japan’s path toward ending its negative interest rate policy. Gross domestic product shrank at an annualized pace of 0.4% in the final three months of last year, following a revised 3.3% contraction in the previous quarter, the Cabinet Office reported Thursday. The report showed both households and businesses cut spending. Only one among 34 forecasts from economists had pointed to a contraction in the quarter, with the consensus at 1.1% growth. The data also ... (full story)