TOKYO - The pessimism hanging over Japan’s manufacturers lifted slightly in October, suggesting businesses were emerging from the coronavirus pandemic’s heavy blow to activity and earnings but at a glacial pace.
Some sub-manufacturing sectors, however, believed conditions would stabilise in the next few months, according to the monthly Reuters Tankan, which tracks the Bank of Japan’s closely watched tankan quarterly survey. In the poll of 485 large- and mid-sized companies, in which 251 firms responded on condition of anonymity, many complained about the slow pace of recovery from the economic crisis, reporting weakening orders and capital spending.A textile maker wrote: “Auto sales are stagnating globally, while private consumption within Japan is growing only slowly.”
The Reuters Tankan sentiment index for manufacturers in October rose for the fourth straight month, coming in at minus 26 from minus 29 the previous month. The index has been in negative territory for 15 straight months.
Source: News Formal (newsformal.com)
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