Japan's Recession Deepens

From Yahoo! Finance: Japan auto production marks worst drop since 1967
Vehicle production in Japan, home to Toyota Motor Corp. and other major automakers, plunged 20.4 percent in November compared to the same month a year ago to 854,171 vehicles. That marked the second straight month of one-year declines and the percentage slide was the biggest since the group began compiling such data in 1967.

Earlier this month, the Japan Automobile Manufacturers Association said it expected demand in Japan will dive next year to its lowest in about three decades. Sales of new autos are expected to stand at 4.86 million in 2009, down 4.9 percent from what it's projecting for this year at 5.11 million. New vehicle sales in Japan have never dipped below the 5 million mark since 1980. They reached 7.78 million in 1990, during this nation's heyday "bubble" economy.

From Bloomberg: Japan’s Recession Deepens as Factory Output Plummets
Japan’s recession deepened in November as companies cut production at the fastest pace in 55 years and rising unemployment prompted households to pare spending.

Factory output plunged 8.1 percent from October, more than the 6.8 percent estimated by economists. The jobless rate climbed to 3.9 percent from 3.7 percent. Household spending slid 0.5 percent, a ninth drop.

The decline in production was the biggest since comparable figures were first made available in February 1953. Shipments also fell the most on record. Japan's exports plunged 26.7% in November, the sharpest drop since at least 1980.

The yen’s 23 percent gain against the dollar this year is compounding exporters’ woes by eroding their profits. Japan’s currency surged to a 13-year high of 87.14 on Dec. 17.

The ratio of jobs available to each applicant dropped for a 10th month in November to 0.76, extending the longest losing streak since 1998. Wages fell 1.9 percent, the most in four years, underscoring why consumer sentiment slumped to a record low. Retail sales slid 0.9 percent from a year earlier, the biggest drop in 16 months. Weaker personal spending is prompting retailers to reconsider investments.