Japan announced a triple slump in key economic data Friday and said there was no end to the bad news in sight, as US President Barack Obama blasted Wall Street bonuses handed out amid the financial crisis. Taking on one of the most politically explosive issues of the economic downturn, Obama expressed outrage over a report that Wall Street firms gave out more than US$18 billion in bonuses last year. "That is the height of irresponsibility. It is shameful," the president said, calling on US financial firms to "show some restraint and show some discipline and show some sense of responsibility." Just months after major Wall Street firms asked for billions of dollars in government aid, the report will give ammunition to critics of federal bailout measures as well as Obama's proposed US$819 billion stimulus package."The problem is very serious," Economics Minister Kaoru Yosano said. "As to when the economy will bottom out, it is impossible to predict at this time as the problem is not only domestic but global." Japan's unemployment rate jumped to 4.4 per cent in December, the country's highest rate in three years, while household spending meanwhile tumbled 4.6 per cent as consumers tightened their belts. Analysts say Japan's economy now looks set to log its worst quarter since the oil crisis in 1974.
“The labour market remains extremely weak, with very few signs that things are starting to improve," analysts at Goldman Sachs said. The jobless rate in Germany, Europe's largest economy, meanwhile jumped to 8.3 per cent, significantly higher than had been forecast.
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