Jibun Bank - S&P Global / Markit manufacturing PMIs from Japan for October is 50.7
- preliminary was 50.7
- prior was 50.8
Commentary via Markit's report:
- The latest survey data signalled that Japan’s manufacturing
sector lost further momentum in October. Sluggish markets
and weaker demand conditions, on both a domestic and
international level, became a recurring trend throughout
the report and were seemingly the driving forces behind the
slower sector performance. Anecdotal evidence suggested
that worsening conditions in China and South Korea were
specifically detrimental to Japan’s exports this month.
Meanwhile, inflationary pressures remained severe in
October. Japanese manufacturing firms increased their selling
prices more aggressively, as signalled by a near-record rate of
output cost inflation . Given the current conditions in some of
Japan’s key export markets, and with inflationary pressures
displaying limited signs of easing, demand is likely to remain
subdued in the coming months.
Despite this, firms seem unfazed by the challenges that the
sector is currently facing remaining optimistic towards their
12-month outlook on growth in October. In fact, the degree of
confidence accelerated from September and reached a ninemonth high.
