Japan Q3 capital spending +7.1% y/y vs +5.0% expected
Strong capex numbers from Japan
- Prior was +1.9%
- Spending ex software +7.7% vs +4.4% expected
- Company profits -5.3% vs -2.0% expected
- Company sales -2.6% vs +0.4% prior
The profitability numbers are concerning but the willingness of companies to spend shows confidence in future growth and profitability.