Retail Trade in Japan

Measures the change in Japanese retail sales (department stores, supermarkets, convenience stores, electrical goods, chemists, car dealers and other outlets). Published by the Ministry of Economy, Trade and Industry (METI), it is one of Japan's most closely followed private-consumption gauges.

A monthly survey of retail establishments. It reports the year-on-year change of the original series (with a linking coefficient to correct classification breaks) and the month-on-month change of the seasonally adjusted series (2020=100).

A stronger-than-expected reading points to firm private consumption, the main driver of Japanese GDP, and tends to be bullish for the yen; a weak reading foreshadows soft household spending and reinforces the Bank of Japan's dovish leanings.

It is volatile month to month (sensitive to weather, moving public holidays and energy prices) and is subject to revision between the preliminary and confirmed reports.