TOKYO - Japanese manufacturing activity shrank for a fourth straight month in August as export orders fell at a sharper pace, a preliminary business survey showed on Thursday.
The Jibun Bank Flash Japan Manufacturing Purchasing Managers’ Index rose to a seasonally adjusted 49.5 from a final 49.4 in the previous month, but stayed below the 50.0 threshold that separates contraction from expansion for a fourth month. A separate survey showed Japanese service activity expanded. That, in turn, helped lift a composite PMI index that includes both manufacturing and services.
The growth seen in the services sector was in line with GDP figures released this month that showed the world’s third-largest economy grew an annualized 1.8% in the second quarter largely thanks to robust household consumption and business investment.
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