Japanese household spending increases 0.5% in April, driven by education, clothes, and transport, after 14 months of decline.

Japanese household spending increased 0.5% in April, marking the first rise in 14 months, driven by spending on education, clothes and transport, including cars. This comes after a period of declining real wages and tight budgets among workers and retirees. The Bank of Japan is watching for signs of a virtuous cycle linking rising wages to demand-led price gains as it considers the timing for another rate hike.