Uncertainty from Downturns in China and Resource-Rich Economies, Brexit, a Stronger Yen and Falling Share Prices

「In addition to downside risks to the economy from U.S. trade policy, the outlook remains uncertain due to continuing inflation, labor shortages, concerns over energy issues arising from escalating tensions in the Middle East, and the effects of destabilization in Japan-China relations.」

「Meanwhile, the outlook for the domestic economy and corporate earnings remained uncertain due to factors including downside pressure on consumer sentiment from continued price increases, the impact of U.S. trade policy and other factors, prolonged geopolitical risks, and fluctuations in the politics and financial markets of various countries.」

「During the current interim consolidated accounting period, Japan's economic environment was on a gradual recovery trend. Although personal consumption showed signs of stalling, social activity continued to normalize, supported by improvements in employment and income conditions, a rebound in capital investment and the effects of government policies. Meanwhile, the outlook remained uncertain due to trends in financial markets, including monetary policies around the world and sharp currency movements, rising prices and heightened geopolitical risks.」

「During the current fiscal year, Japan's economic environment remained unsettled amid heightened international tensions, including the prolonged Russia-Ukraine situation and worsening conditions in the Middle East. As COVID-19 moved toward containment, social activity normalized with the transition to living with COVID-19, and the domestic economy showed signs of a gradual recovery, including a recovery in personal consumption, employment growth and a revival in inbound demand. However, the economy evolved amid increasing uncertainty due to factors including growing expectations of higher interest rates.」

「While the domestic economy was gradually recovering, instability in the global situation became more apparent due to the prolonged Russia-Ukraine situation, the continuing yen depreciation, price increases caused by the Israel-Palestine situation and other factors, and expanding global inflation, and the outlook remained uncertain.」

「Meanwhile, soaring resource and material prices continued amid an accelerating yen depreciation resulting from U.S. monetary policy, concerns over a slowdown in overseas economies and the prolonged situation in Ukraine. Instability in the global situation became more apparent, and uncertainty about the outlook continued.」

「Meanwhile, the economic outlook remained uncertain due to factors including the prolonged situation in Ukraine, soaring resource, energy and various raw material prices, and price increases resulting from currency movements.」

「During the cumulative third quarter of the current fiscal year, Japan's economy showed signs of recovery due to the effects of measures to combat COVID-19 and various policies supporting socioeconomic activity. However, concerns persisted over accelerating global inflation, the COVID-19 situation in China and the prolonged invasion of Ukraine by Russia, while sharp currency movements and other factors continued to make the outlook uncertain.」

「While the economy showed a gradual recovery trend and signs of improvement, strong concerns about a renewed spread of infections caused by new variants persisted. Overseas, these concerns were compounded by the prolonged impact of Russia's invasion of Ukraine and surging resource, crude oil and consumer prices resulting from sharp currency movements, and the economic outlook remained uncertain.」

「Although gradual improvement was seen as vaccinations progressed, infections resurged after the beginning of the year, and uncertainty about the outlook continued amid factors including monetary tightening in the United States and Russia's invasion of Ukraine.」

「During the cumulative third quarter of the current fiscal year, Japan's economy showed signs of recovery due to the effects of preventive measures, including the promotion of COVID-19 vaccinations, and improvements in overseas economies. However, as infections caused by emerging variants resurged in Japan and overseas and it became necessary to closely monitor infection trends, the economy had not yet returned to its previous state, and an uncertain economic outlook is expected to continue.」

「During the cumulative second quarter of the current fiscal year, Japan's economy was expected to begin recovering on the back of the effects of preventive measures, including the promotion of COVID-19 vaccinations, and improvements in overseas economies. However, restrictions continued, including the declaration of states of emergency in various areas in response to the renewed spread of infections caused by emerging variants, and the economic outlook remained uncertain.」

「During the current fiscal year, Japan's economy remained in an uncertain environment, as concerns about the impact of a resurgence in infections on socioeconomic activity persisted and downside risks to the domestic and overseas economies remained.」

「During the cumulative third quarter of the current consolidated fiscal year, the spread of COVID-19 forced economic activity to contract and be suspended worldwide. Although there were temporary signs of recovery as economic activity gradually resumed while infection-control measures were implemented in Japan and overseas, businesses continued to suspend operations and people continued to refrain from going out amid concerns over the spread of infection. In addition, the number of new COVID-19 cases began increasing again from November 2020, leaving the outlook uncertain.」

「Japan's economy remained on a moderate recovery trend during the consolidated fiscal year, supported by improvements in employment and income conditions. However, uncertainty increased as the global economy slowed because of prolonged US-China trade friction and other factors, while the decline in consumer sentiment following the consumption tax rate increase implemented in October, together with the spread of COVID-19 and the increasingly severe and prolonged damage it caused, dealt a further blow to the global economy as a whole. As a result, the outlook for the domestic economy became uncertain, with concerns that it could turn to negative growth.」

「However, risks of a slowdown in the global economy have increased because of escalating US-China trade friction, the slowdown in the Chinese economy, and worsening conditions in the Middle East, leaving the outlook uncertain.」

「During the cumulative second quarter of the current consolidated fiscal year, Japan's economy remained on a moderate recovery trend, supported by strong corporate earnings and employment conditions, although exports and production continued to be weak amid an unstable international situation, including escalating US-China trade friction and the increasingly evident slowdown in the Chinese economy, and some caution was seen in sentiment about economic conditions.」

「During the cumulative first quarter of the current consolidated fiscal year, Japan's economy remained on a moderate recovery trend, supported by strong corporate earnings and employment conditions, although exports and production continued to be weak amid an unstable international situation, including escalating US-China trade friction and the increasingly evident slowdown in the Chinese economy, and some caution was seen in sentiment about economic conditions.」

「However, risks of a slowdown in the global economy have increased because of escalating US-China trade friction and the Brexit issue, leaving the outlook uncertain.」

「However, issues including increasingly severe labor shortages and escalating US-China trade friction have accumulated, increasing economic uncertainty and leaving the outlook uncertain.」

「However, issues including slower economic growth in emerging and resource-rich economies and escalating US-China trade friction have accumulated, increasing uncertainty in the global economy and leaving the outlook uncertain.」

「However, the outlook for the global economy has remained uncertain because of concerns over an economic slowdown in China and other emerging economies, uncertainty over US monetary policy, and heightened geopolitical risks in East Asia, the Middle East and elsewhere.」

「However, issues including concerns over slower economic growth in emerging economies, uncertainty over US monetary policy, and geopolitical risks in East Asia, the Middle East and elsewhere continue to increase uncertainty in the global economy.」

「However, issues including slower economic growth in emerging and resource-rich economies, US monetary policy, and geopolitical risks in the Middle East and elsewhere have accumulated, increasing uncertainty in the global economy and leaving the outlook uncertain.」

「However, uncertainty in the global economy has increased because of slower economic growth in China, other emerging economies and resource-rich economies, the Brexit issue, and the economic policies of the new US administration, leaving the outlook uncertain.」

「However, the outlook has remained uncertain because concerns over an economic downturn in Asian emerging economies, including China, have continued, while economic policy remained uncertain until the launch of the new US administration and the UK's decision to leave the EU affected the global economy.」

「However, concerns about economic downturns in emerging Asian economies, including China, and resource-rich countries, the impact on the global economy of the United Kingdom’s decision to leave the EU, and the progression of yen appreciation and falling share prices have left the outlook uncertain.」