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Japan's government maintained its economic assessment in June, the latest monthly report from the Cabinet Office showed on Tuesday.
The government repeated that the Japanese economy is recovering at a moderate pace while weakness in exports and industrial production continues. The assessment on private consumption, business investment, exports and industrial production remained unchanged from May.
However, the government upgraded its view on corporate profits, saying corporate profits holds firm at a high level.
The employment situation is improving steadily and consumer prices are rising moderately in recent months, the office reiterated.
The cabinet office said "Further attention should be given to the effects of situations over trade issues on the world economy, while the prospect of the Chinese economy, the uncertainty of situations and policies in overseas economies and the effects of fluctuations in the financial and capital markets also need attention."