Sluggish Stock Market, Yen Appreciation, and Uncertainty Surrounding the Economic Recovery

「During the interim accounting period, the Japanese economy remained on a moderate recovery trend, supported by growing global demand for semiconductors and AI-related digital products, as well as improvements in employment and income conditions. At the same time, continued attention is required regarding uncertain factors, including the situation in the Middle East, fluctuations in interest rate and foreign exchange markets, and the increasing severity and frequency of natural disasters.」

「During the fiscal year, Japan’s economy remained on a gradual recovery trend, with corporate performance holding firm and employment and income conditions continuing to improve. Meanwhile, the outlook remains uncertain due to the continuing depreciation of the yen, the impact of U.S. trade policy, uncertainty surrounding the situation in the Middle East, and geopolitical risks.」

「During the interim accounting period, Japan’s economy recovered gradually, although corporate performance showed signs of stalling in some areas due to the impact of U.S. trade policy and other factors, while personal consumption recovered as employment and income conditions improved. Meanwhile, uncertainty about the outlook persists as the rising cost of raw materials, higher prices, and a trend toward negative real wage growth have increased consumers’ tendency to economize.」

「During the fiscal year, Japan’s economy recovered gradually, supported by improvements in employment and income conditions, growth in inbound demand, progress in corporate digitalization, and increased capital investment. Meanwhile, uncertainty about the outlook persists, including the potential impact of weaker consumer sentiment due to rising prices and developments in U.S. policies, including trade policy.」

「During the interim accounting period, Japan’s economy recovered gradually, although some areas remained stalled, supported by solid corporate performance and improvements in employment and income conditions. Meanwhile, uncertainty about the outlook persists, amid the yen’s depreciation, soaring raw material prices, a greater tendency to economize due to rising prices, and concerns over weakening consumer sentiment.」

「During the cumulative period of the first quarter, Japan’s economy recovered gradually, although it also showed signs of stalling, as corporate earnings generally improved, employment and income conditions showed signs of improvement, and personal consumption recovered but remained weak. Meanwhile, uncertainty about the outlook persists, amid the yen’s depreciation, soaring raw material prices, a greater tendency to economize due to rising prices, and concerns over weakening consumer sentiment.」

「Japan’s economy is not expected to achieve substantial growth as society continues to age and the birth rate declines. In addition, a challenging environment is expected to persist, including soaring energy and raw material prices, rising prices associated with the yen’s depreciation, and concerns that personal consumption will weaken as a result.」

「During the cumulative period of the third quarter, Japan’s economy was on a gradual recovery path as the normalization of social and economic activity progressed following the reclassification of COVID-19 under the Infectious Diseases Control Law to Category 5, and domestic demand, including personal consumption and inbound demand, recovered across a broad range of areas. Meanwhile, uncertainty about the outlook persists, amid concerns over the yen’s depreciation, the prolonged rise in raw material and energy prices, and weakening consumer sentiment due to rising prices.」

「During the cumulative period of the second quarter, Japan’s economy was on a gradual recovery path as the normalization of social and economic activity progressed following the reclassification of COVID-19 under the Infectious Diseases Control Law to Category 5, and domestic demand, including personal consumption, recovered across a broad range of areas. Meanwhile, uncertainty about the outlook persists, amid concerns over the yen’s depreciation, soaring raw material and energy prices, and weakening consumer sentiment due to rising prices.」

「During the cumulative first quarter, economic activity normalized as restrictions on movement related to COVID-19 were eased and the disease was reclassified under the Infectious Diseases Control Law, leading to a broad-based recovery in domestic demand including personal consumption and capital investment. However, the outlook remained uncertain amid worsening geopolitical conditions surrounding Russia and Ukraine, monetary tightening in response to global inflation, yen depreciation, higher raw-material and energy prices, and concerns that continued inflation would dampen consumer sentiment.」

「During the cumulative third quarter, Japan's economy gradually recovered after priority preventive measures were fully lifted in late March, despite the effects of the renewed spread of COVID-19, as policies shifted toward maintaining socioeconomic activity. However, the outlook remained uncertain due to the prolonged Russian invasion of Ukraine, rapid yen depreciation and continued increases in raw-material prices, energy prices and transportation costs.」

「However, the outlook remained uncertain amid a sharp increase in COVID-19 Omicron cases from July, the prolonged Russian invasion of Ukraine, rapid yen depreciation as rising US interest rates widened the US-Japan interest-rate differential, and continued increases in raw-material prices, energy prices and transportation costs, while the risk of recession increased.」

「However, the outlook remained uncertain as the international situation surrounding Ukraine intensified, leading to rapid yen depreciation and continued increases in raw-material prices, energy prices and transportation costs.」

「During the fiscal year, the second year of the COVID-19 pandemic, vaccinations progressed, but the spread of new variants led to successive states of emergency and priority preventive measures, and personal consumption continued to alternate between declines and recoveries. As the spread of infections subsided toward the end of 2021, economic activity resumed and personal consumption recovered. However, the rapid spread of the Omicron variant from the beginning of 2022 led to the reintroduction of priority preventive measures, causing personal consumption to decline again, and the outlook remained uncertain.」

「In the restaurant industry, personal consumption showed signs of recovery as the repeatedly issued state of emergency and priority preventive measures were lifted and restrictions on travel and outings were eased. However, the global spread of new COVID-19 variants continued, and the outlook remained uncertain.」

「During the cumulative second quarter (1 March 2021 to 31 August 2021), Japan's economy remained slow to recover as repeated states of emergency and priority preventive measures were issued in response to the spread of COVID-19, and requests to refrain from nonessential outings and business activities continued to constrain domestic economic activity. Although vaccinations gradually progressed, the timing of containment remained unclear due to the spread of variants, and the outlook continued to be uncertain.」

「During the fiscal year, Japan's economy was affected by the spread of COVID-19, and a state of emergency was declared in April 2020. Economic activity showed signs of recovery after the declaration was lifted, partly due to the effects of various government and local-government measures. However, the outlook remained uncertain as a renewed spread of infections led to another state of emergency being declared in January 2021.」

「During the cumulative third quarter, Japan's economy suffered a substantial downturn due to the global spread of COVID-19. Although economic activity showed signs of recovery in the latter part of the period, partly due to the effects of various government and local-government measures, the outlook remained uncertain as the renewed spread of infections led to further requests for voluntary restraints.」

「During the cumulative second quarter (1 March 2020 to 31 August 2020), Japan's economy suffered a significant downturn as the government issued a state of emergency in April in response to the global spread of COVID-19, and domestic economic conditions deteriorated sharply due to requests to refrain from nonessential outings and business activities. Although the state of emergency was lifted in May, the recovery in economic activity remained slow as people continued to refrain from going out and avoid dining in groups.」

「During the cumulative first quarter, Japan's economy was in an extremely difficult situation as the global spread of COVID-19 reduced overseas demand and restrained economic activity through measures such as requests to refrain from going out.」

「During the fiscal year, Japan's economy remained uncertain as natural disasters including extreme heat, torrential rain and typhoons caused extensive damage in affected regions, while US-China trade issues and the global spread of COVID-19 also weighed on the outlook.」

「During the cumulative third quarter, Japan's economy remained resilient, albeit with limited growth, supported by improved corporate earnings and a recovery in personal consumption. However, the outlook remained uncertain amid increasing uncertainty in overseas political and economic conditions.」

「During the cumulative second quarter, Japan's economy remained on a recovery path, supported by robust domestic demand including personal consumption and corporate capital investment, although exports began to weaken. The global economy became uncertain due to the effects of US-China trade friction and concerns over the UK's no-deal Brexit.」

「During the cumulative first quarter, Japan's economy followed a gradual recovery path as corporate earnings and employment and income conditions improved. Overseas economies, however, remained uncertain due to factors including trade tensions between the United States and China.」

「Japan's economy followed a gradual recovery path during the fiscal year, supported by improved corporate earnings and a recovery in personal consumption, but the outlook remained uncertain amid uncertainty in overseas economies and volatility in financial and capital markets.」

「During the cumulative third quarter, corporate earnings improved and personal consumption showed signs of recovery, but the outlook remained uncertain amid increasing uncertainty in overseas political and economic conditions.」

「During the cumulative second quarter, Japan's economy followed a gradual recovery path, including a recovery in personal consumption, but the outlook remained uncertain amid increasing uncertainty in overseas economies.」

「During the cumulative first quarter, Japan's economy followed a gradual recovery path, including a recovery in personal consumption, but the outlook remained uncertain due to uncertainty in overseas economies and volatility in financial and capital markets.」

「Japan's economy followed a gradual recovery path during the fiscal year, supported by improved corporate earnings and a recovery in personal consumption, but the outlook remained uncertain amid uncertainty in overseas economies and volatility in financial and capital markets.」

「During the cumulative third quarter, corporate earnings improved and personal consumption showed signs of recovery, but the outlook remained uncertain amid increasing uncertainty in overseas political and economic conditions.」

「During the cumulative second quarter, Japan's economy showed improvements in employment and income conditions, but the outlook remained uncertain amid increasing uncertainty in overseas economies.」

「During the cumulative first quarter, Japan's economy remained on a gradual recovery path, supported by a recovery in personal consumption and capital investment, but the outlook remained uncertain amid increasing uncertainty in overseas economies.」

「Japan's economy improved in terms of corporate earnings due to the government's economic measures and the Bank of Japan's monetary policy, but the outlook remained uncertain amid higher prices caused by yen depreciation and increasing uncertainty in overseas economies.」

「During the cumulative third quarter, corporate earnings improved due to the government's economic measures, the Bank of Japan's monetary policy and the continuing trend toward yen depreciation. However, the outlook remained uncertain amid higher prices caused by the weaker yen and increasing uncertainty in overseas economies.」

「During the cumulative second quarter, Japan's economy showed signs of a gradual recovery, including improving employment conditions, but remained uncertain as the weak stock market and the yen's appreciation slowed the pace of improvement in corporate earnings.」

「During the cumulative first quarter, Japan's economy remained uncertain, with the pace of improvement in corporate earnings slowing amid a weak stock market and the yen's appreciation.」