BORROW, SPEND, STAGNATE, REPEAT. Japan’s economy stalls in April-June, casts doubts on Abe’s policies.

“Overall it looks like the economy is stagnating. Consumer spending is weak, and the reason is low wage gains. There is a lot of uncertainty about overseas economies, and this is holding back capital expenditure,” said Norio Miyagawa, senior economist at Mizuho Securities.

“The government has already announced a big stimulus package, so the next question is how the Bank of Japan will respond after its comprehensive policy review, which is sure to lead to a delay in its price target.”

This time stimulus will work, honest.