TOKYO, Aug 2 Reuters Japan39;s economy likely rebounded in the AprilJune period after shrinking in the previous quarter thanks to a pickup in factory output and consumption, a Reuters poll showed, helping the central bank make the case for further interest rate hikes.
But the yen39;s recent rally and signs of slowdown in the U.S. economy may emerge as fresh risks to the exportreliant economy, some analysts say.
Japan39;s real gross domestic product GDP is expected to have expanded an annualised 2.1 in AprilJune, according to a median forecast of economists polled by Reuters, rebounding from a 2.9 contraction in the previous quarter.
Private consumption likely rose 0.5, marking the first increase in five quarters, as bumper pay hikes offered by companies in spring wage negotiations begin to boost household income, the poll showed.
While slowing global demand and rising inflation will continue to drag on growth, Japan39;s economy will get a lift form strong wage growth and a pickup in auto output, said Saisuke Sakai, an economist at Mizuho Research Technologies.
Capital expenditure is expected to have increased 0.9 after a 0.4 drop in JanuaryMarch, the poll showed, underscoring the Bank of Japan39;s view that robust corporate spending will underpin growth.
Net external demand likely shaved a 0.1 percentage point off GDP, the poll showed, less than a 0.4point negative contribution in the JanuaryMarch period.
The government will release the preliminary secondquarter…