Japan's government said on Wednesday the economy was in moderate recovery but it remains cautious due to potential global economic risks and financial market volatility. In its monthly economic report,

Japan’s economy grew at an annual rate of 2.9%, slower than the earlier report for 3.1% growth, in the April-June period, boosted by better wages and spending, revised government data showed Monday.

Japan has posted a trade deficit for a second straight month, as both exports and imports were lower than expected