TOKYO -- Japan's real gross domestic product contracted 0.4% in December from the previous month for its first drop in seven months, the Japan Center for Economic Research said.
The decline was driven by slumping consumption in the service sector, which has been smothered by the coronavirus pandemic, according to the center.
JCER's recession indicator -- a signal showing the probability of the economy falling into recession -- reached 23.7%, the highest level in seven months.
The figure is still below the 67% threshold signaling a recession warning.
The indicator is calculated using indexes of business conditions issued by the Cabinet Office.