More pressure in Japan's economy

There was more pressure in the Japanese economy during the second quarter than analysts had predicted. GDP increased by 3.1 percent on an annual basis, one percentage point above expectations.

Compared to the first quarter of the year, it is an increase of 0.8 percent. Households have started to loosen their purse strings and it was the first time in over a year that private consumption showed a plus sign.

The increase paves the way for a new interest rate hike and for Japan to approach the inflation target of 2 percent.