TOKYO (MNI) – Combined investment in equipment (including software) by
non-financial firms in Japan is expected to have risen 2.9% on year in
July-September, a fourth straight quarter of year-on-year increase but slower
than +7.7% in Q2 and +3.3% in Q1, according to the median forecast of economists
surveyed by MNI.
The Ministry of Finance will release the data as part of its quarterly
business survey at 0850 JST on Monday, Dec. 3 (2350 GMT Sunday).
The projection for Q3 business investment in equipment (excluding software)
released by the Construction Research Institute, which has a close correlation
with the MOF data, showed a 7.2% y/y drop in Q3, worsening from +9.7% in Q2.
The Cabinet Office will release revised Q3 GDP data on Monday, Dec. 10,
after taking into account the demand side of capex and private-sector inventory
changes based on the MOF survey.
In the preliminary GDP data released on Nov. 12, the economy contracted a
real 0.9% q/q (annualized -3.5%) in Q3 while capex fell 3.2% q/q (annualized
-12.1%).
On a seasonally adjusted basis, Q3 capital spending (excluding software) in
the MOF data is forecast by economists to have declined 5.6% from the previous
quarter, posting the third straight fall after -0.5% in Q2 and -2.0% in Q1.
–MNI Tokyo Bureau; tel: +81 90-4818-1387; email: skodama@mni-news.com
–MNI Tokyo Bureau; tel: +81 90-4670-5309; email: msato@mni-news.com
[TOPICS: MAJDS$,M$A$$$,M$J$$$]
