The government remained upbeat on the economy in its latest monthly report released Monday, citing pickups in personal spending and capital investment and improving employment.
"The economy is recovering at a moderate pace," the Cabinet Office said in its November report, repeating its assessment for the third consecutive month.
"Corporate profits are improving and business investment is increasing," the report says.
"We forecast that capital investment will remain strong for a while because private-sector core machinery orders are expected to rise 6.2 percent in the October-December period from the previous quarter," an official at the Cabinet Office said.