Japan's factory activity declines accelerate, services sag, PMI shows

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Japan's factory activity declines accelerate, services sag, PMI shows

//business-finance.news-articles.net/content/202 .. -declines-accelerate-services-sag-pmi-shows.html

Published in Business and Finance on Sunday, March 23rd 2025 at 21:41 GMT by Reuters
^{🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source}

Japan's factory activity fell at the fastest pace in a year in March, dragged by declines in production and new orders in a worrying sign for the economy, a private-sector survey showed on Monday. The service sector,

Japan's manufacturing sector experienced a significant contraction in October, with the au Jibun Bank flash Japan manufacturing purchasing managers' index (PMI) dropping to 48.7 from 48.5 in September, marking the third consecutive month of decline and the fastest pace since February. This downturn was attributed to a sharp fall in new orders, particularly from overseas markets like China, Europe, and North America, leading to reduced production and the first drop in employment in the sector since January 2021. Concurrently, the services sector also showed signs of weakening, with the services PMI decreasing to 51.1 from 53.8, indicating the slowest growth in four months. Despite this, the composite PMI, which includes both manufacturing and services, remained above the 50 threshold at 50.5, suggesting a slight overall expansion in business activity. However, the data reflects broader economic challenges including a global economic slowdown, persistent inflation, and a depreciating yen, which together are impacting Japan's economic recovery.

Read the Full Reuters Article at:
[ https://www.msn.com/en-us/money/markets/japan-s-factory-activity-declines-accelerate-services-sag-pmi-shows/ar-AA1BvyjN ]

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