Japan's economy contracted an annualized real 2.3 percent in the three months starting in October, marking the first fall in two quarters, the government said Monday.
The figure for gross domestic product (GDP) was equivalent to a shrinkage of 0.6 percent from the previous quarter, according to a preliminary report of the Cabinet Office.
The drop was attributed to the strong yen, the massive flooding in Thailand and weak demand overseas that led to sluggish exports.
The GDP for the past year saw a real 0.9 percent contraction from the previous year.