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Retail sales in Japan fell 3.0 percent on year in June, the Ministry of Economy, Trade and Industry said on Wednesday - defying forecasts for a 2.5 percent annual decline after the revised 2.7 percent contraction in May.
On a monthly basis, retail sales eased a seasonally adjusted 0.3 percent. Analysts had been expecting a 0.4 percent increase after the revised 0.1 percent gain in the previous month.
For the second quarter, retail sales were down 2.9 percent on year.
Sales from large retailers fell 6.7 percent on year, worse than forecasts for a 6.0 percent annual contraction following the 6.5 percent decline in May.
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