Reportedly, Japan’s exports dropped for a 12th consecutive month in November, as declining consignments to China and the U.S. hit the trade-dependent economy, elevating the peril of a fourth-quarter tightening. The official data published lately demonstrated Japan’s exports declined by 7.9% yearly in November, which is a smaller turn down than the 8.6% decline projected by economists in a Reuters survey. The dejected readings—driven by lesser consignments of construction machinery and cars to the U.S. and chemical products to China—marked the longest run of turn downs in exports from November 2016.

In terms of volume, exports decreased by 5% in the year to November, which is the fourth straight month of declines. Japan’s financial system grew at a much faster rate than previously reported during the third quarter, data revealed in the last week, largely due to advancements in private consumption and business investment. But there are concerns the third-quarter potency is concealing widening cracks in the financial system following the administration went ahead with a countrywide tax raise in October, giving a big hit to household and corporate sentiment. The industrial productivity declined at the fastest rate in almost 2 Years in October whilst household spending and retail sales slumped following consumers constricted their purse strings after the sales tax hike.

Speaking of the Japanese economy, recently, BOJ’s (Bank of Japan) governor warned of risks to the economy in spite of the trade war truce. Haruhiko Kuroda—Bank of Japan’s Governor—stated that the global economic outlook has cheered up slightly owing to an initial US-China trade deal but risks to Japan’s revival are still high, indicating his resolve to maintain the money faucet wide open. But Kuroda asserted there were limitations to how much the BOJ can intensify negative interest rates as delayed ultra-low lending costs impact financial institutions, proposing that no instant expansion of stimulus was approaching.