Japan's June core machinery orders suddenly dip

Japan's June core machinery orders suddenly dip

In June, Japan's core machinery orders suddenly decreased for a third consecutive month, thus underscoring companies' reluctance to spur spending and conflicting with recent indications that the economic revival is gaining momentum.

Core orders faced a second straight quarter of drops in April-June. That’s the first instance of consecutive quarterly declines since 2012. It casts doubt on policymakers' upbeat mood that brightening business sentiment will lead capital expenditure ahead.

While experts warn against reading too much into the extremely volatile series, the June sag provides a negative note ahead of Monday's second-quarter GDP data supposed to demonstrate a sturdy surge recovery, powered by firm domestic demand.

In June, core orders, considered to be an indicator of capital spending in the nearer six to nine months, inched down 1.9% from last month, ruining a median market forecast for a 3.7% leap, as Cabinet Office data unveiled on Thursday.

Similar

Japan manufacturers' mood tacks on to 11-year maximum

In January, confidence among Japanese manufacturers rallied to an 11-year maximum, as the Reuters Tankan survey unveiled on Monday, showing corporate optimism powered by almost two years of uninterrupted economic expansion as well as a buoyant stock…

Popular

Japan real wages surge is slowest in almost two years

Japan's March real wages went down at the fastest pace in nearly two years, weighed by minor nominal pay lifts as well as a moderate ascend in consumer prices, thus posing a setback for Prime Minister Shinzo Abe's tries to revitalize the Japanese…

promotions you can be interested in

Deposit with your local payment systems

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Internal error. Please try again later

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera