Japan govt downgrades consumer spending, exports as economy stutters

Tokyo

JAPAN'S government lowered its assessment of consumer spending and exports in August, a worrying sign that the economy is seeing just a tepid recovery from a contraction in the April-June quarter.

The government stood by its assessment that Japan's economy is on track to recover but acknowledged the pace of improvement is patchy as worries stemming from the bursting of China's stock-market bubble roil global financial markets.