Reuters Japan monthly Tankan: April manufacturer sentiment index +13 (vs March +6 )
And the Service sector index -3 in April (vs -5 in March)
Manufacturer sentiment has hit its highest in over 2 years, highest since February 2019.
- strong demand in the electronics market
- favourable exchange rate conditions boosted prospects for exporters
On the less positive side:
- manufacturers highlighted uncertainty about the global economic outlook and cited problems with sourcing materials for production
- still reluctance to nvest fearing further waves of coronavirus infections
For services, not so good but an improvement (to less pessimistic) on the month
- index remained in contraction for the 14th straight month
The Reuters Tankan poll is intended to track the quarterly Bank of Japan tankan survey.
- poll of 482 large- and mid-sized companies, in which 243 firms responded
- index readings are derived by subtracting the percentage of respondents who say conditions are poor from those who say they are good. A negative reading means pessimists outnumber optimists