Japan on the brink

MARKET NEWS

TOKYO -- Japan’s fragile economy was dealt a further blow last week with lower-than-expected growth figures -- leading analysts to predict the world’s number-two economy could enter its fourth recession in 10 years.

"There is a distinct possibility that Japan will revert to recession," Will Rugg, senior currency analyst at Standard & Poor’s MMS in London, told FX Week. "Our forecast is for another negative quarter at least."

Official figures showed last week that Japan’s economy shrank by 0.2%