Japan's core machinery orders missed estimates for a rise m/m in May, falling instead.
Japan Core Machinery Orders (May 2024) -3.2% m/m (vs. expected +0.8%)
- this is a volatile indicator
- core orders exclude ship buildings and repairs as well as electricity power generation
- its used as an indicator to capital spending in six to nine months.
- The Cabinet Office compiles the data
The Cabinet Office cut its view on machinery orders, saying there are signs that a pick-up is stalling.
Capital spending has been a few bright spots in Japan, with demand for machinery and technology to enhance labour productivity in the face of chronic labour shortages.
