FX.co ★ Japan Personal Spending Falls More than Expected

Household spending in Japan fell 1.7% year-on-year in February 2026, a steeper drop than the 1.0% decline recorded in the previous month and worse than market expectations for a 0.7% decrease. This marked the third consecutive month of contracting personal expenditures, underscoring persistent price pressures. On a seasonally adjusted month-on-month basis, personal spending rose 1.5%, rebounding from a 2.5% decline in January but coming in below forecasts for a 2.6% gain. This also represented the first monthly increase in three months.