Japan industrial output falls for first time in 5 months

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Japan's industrial output fell by a worst-than-expected margin in June, sparking concerns over whether the radical economic revival plans by Prime Minister Shinzo Abe are having enough of an impact.

Industrial output fell 3.3 percent in the month from May, government data showed on Tuesday, representing the first drop in five months. The figure compares to a poll of economists by Reuters expecting a fall of 1.8 percent. Output rose 1.9 percent month-on-month in May.

(Read more: Japanese manufacturers' sentiment turns positive)

Manufacturers surveyed by the Ministry of Economy, Trade and Industry expect output to rise 6.5 percent in July, better than earlier predictions of a 3.3 percent rise, but they expect 0.9 percent dip in August.

In other data, household spending fell 0.4 percent in June from the year-ago period, worse than a Reuters consensus estimate of a 1 percent gain. Spending fell 2 percent on a month-on-month basis.

(Read more: Japan consumers haven't been this confident in 7 years)

Jobless rate, meanwhile, fell to 3.9 percent in June, its lowest level in four and a half years, data from the Internal Affairs Ministry showed. The figure compares to a Reuters consensus of 4 percent.