A Bank of Japan official is hitting the news with his take on some good news from the Tankan report:
- Big automakers' sentiment DI, at +28, was the highest since March 2014
- Big hotel, restaurants sentiment DI, at +51, hits its highest level since comparable data became available in March 2004
Those are some good results indeed. If the Bank was aware of similar good news on sustainable and stable inflation at or above target it'll let us know. That's what the Bank wants to see to allow it it ratchet down its super-accommodative monetary policy.
Earlier:
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"DI" stands for "Diffusion Index."
- This index is used in surveys of businesses and other organizations to gauge the prevalence and intensity of certain economic or business conditions.
- The Diffusion Index is calculated based on the responses to survey questions, typically with responses categorized into positive, negative, and sometimes neutral.
- The higher the number for DI, the stronger the result (and vice versa if it's a negative).
