Stronger yen and weaker stock prices cloud global economic outlook

「At the same time, as uncertainty over the outlook for the global economy increased due to continued price increases, monetary policy trends, China's sluggish economy, US tariff policy, and rising geopolitical risks in the Middle East, concerns arose over higher energy prices and disruptions to logistics.」

「At the same time, the outlook remained uncertain amid concerns over downside risks to the economy from US tariff policy, in addition to continued price increases, a review of monetary policy, China's sluggish economy, and the prolonged situations in Ukraine and the Middle East.」

「During the interim consolidated fiscal period, Japan's economy remained on a path of moderate recovery, supported by the recovery in personal consumption and increased inbound demand amid improving employment and income conditions. However, the outlook remained uncertain due to continued price increases, China's economic slowdown, and surging raw-material prices resulting from the prolonged situation in Ukraine and heightened tensions in the Middle East.」

「During the first nine months of the consolidated fiscal year, Japan's economy showed signs of recovery as social and economic activity normalised following the reclassification of COVID-19 under the Infectious Diseases Control Law to Category 5, accompanied by an increase in visitors to Japan. However, the outlook remained uncertain due to concerns over rising energy and raw-material prices resulting from the prolonged situation in Ukraine and the persistent trend toward yen depreciation, China's economic slowdown, and the impact of global monetary tightening.」

「During the first six months of the consolidated fiscal year, Japan's economy showed signs of recovery as social and economic activity normalised following the reclassification of COVID-19 under the Infectious Diseases Control Law to Category 5, accompanied by an increase in visitors to Japan. However, the outlook remained uncertain due to concerns over rising energy and raw-material prices resulting from the prolonged situation in Ukraine and the persistent trend toward yen depreciation, China's economic slowdown, and the impact of global monetary tightening.」

「During the first quarter of the consolidated fiscal year, Japan's economy showed signs of recovery as restrictions on social and economic activity were eased further following the reclassification of COVID-19 under the Infectious Diseases Control Law to Category 5. However, the outlook remained uncertain due to concerns over rising energy and raw-material prices resulting from the prolonged situation in Ukraine and the persistent trend toward yen depreciation, as well as the impact of global monetary tightening.」

「During the consolidated fiscal year, Japan's economy showed signs of recovery as restrictions on social and economic activity related to COVID-19 were eased. However, the outlook remained uncertain, with energy and raw-material prices rising due to the prolonged situation in Ukraine and other factors, while the yen depreciated sharply in the foreign exchange market.」

「However, in addition to the renewed spread of infections since July 2022, the economic outlook has become uncertain because of soaring energy and raw material prices resulting from the prolonged situation in Ukraine and other factors, a sharp depreciation of the yen in the foreign exchange market, and difficulties procuring components caused by the global semiconductor shortage and a rapid increase in COVID-19 cases in China.」

「However, in addition to the rapid expansion of the seventh wave of infections since July, the economic outlook has become uncertain because of soaring energy and raw material prices resulting from Russia’s invasion of Ukraine and other factors, a sharp depreciation of the yen in the foreign exchange market, and difficulties procuring components caused by the global semiconductor shortage and lockdowns in Shanghai, China.」

「Meanwhile, changes in overseas conditions have led to soaring energy and raw material prices and a rapid depreciation of the yen in the foreign exchange market, making the economic outlook uncertain. In addition, infections of COVID-19 are currently spreading again, and there is still no prospect of containment.」

「In the next fiscal year, all businesses are expected to be affected because of concerns about soaring energy and raw material prices resulting from the effects of the situation in Ukraine on the global economy and other factors.」

「Although vaccinations progressed and signs of a recovery emerged, the outlook remains uncertain as the spread of infections caused by new variants has become a reality.」

「During the six-month period ended [the current quarter], the Japanese economy remained in a difficult condition as the spread of COVID-19 led to renewed declarations of a state of emergency and restrictions on social and economic activity under priority preventive measures. Although vaccinations are progressing nationwide and signs of a recovery have emerged, the outlook remains uncertain.」

「During the three-month period ended [the current quarter], the Japanese economy remained in a difficult condition as the spread of COVID-19 led to renewed declarations of a state of emergency and restrictions on social and economic activity under priority preventive measures. Although vaccinations are progressing nationwide and signs of a recovery have emerged, the outlook remains uncertain.」

「During the fiscal year, the Japanese economy deteriorated rapidly as restrictions on social and economic activity were imposed nationwide in response to the spread of COVID-19, and remained in an extremely severe condition. Although signs of a recovery have emerged, infections have begun to spread again and there is still no clear prospect of containment, so the situation remains unpredictable.」

「During the nine-month period ended [the current quarter], the Japanese economy deteriorated rapidly as restrictions on social and economic activity were imposed nationwide in response to the spread of COVID-19, and remained in an extremely severe condition. Social and economic activity has gradually resumed, but infections are currently spreading rapidly, there is still no clear prospect of containment, and the situation remains unpredictable.」

「During the six-month period ended [the current quarter], the Japanese economy deteriorated rapidly as restrictions on social and economic activity were imposed nationwide in response to the spread of COVID-19, and remained in an extremely severe condition. Social and economic activity has gradually resumed since the state of emergency was lifted, but there is still no clear prospect of containment, and the situation remains unpredictable.」

「During the three-month period ended [the current quarter], the Japanese economy deteriorated rapidly as restrictions on social and economic activity were imposed nationwide in response to the spread of COVID-19, and remained in an extremely severe condition. Social and economic activity began to resume after the state of emergency was lifted, but the possible arrival of a second wave of infections has become increasingly realistic, and the situation remains unpredictable.」

「During the fiscal year, the Japanese economy was recovering moderately, with corporate earnings and the employment environment improving and willingness to invest in capital increasing. However, the slowdown in the Chinese economy resulting from intensifying US-China trade friction became increasingly apparent, and the economy remained in an uncertain environment. In addition, the global spread of COVID-19 at the end of the fiscal year raised concerns about a rapid economic slowdown in Japan and overseas, making the outlook even more difficult to foresee.」

「However, the slowdown in the Chinese economy resulting from intensifying US-China trade friction is strengthening the sense of stagnation in the economy, particularly in manufacturing, and the outlook remains uncertain.」

「During the six-month period ended [the current quarter], the Japanese economy continued to recover moderately, although weakness was visible in exports and capital investment, while personal consumption increased and the employment environment continued to improve. However, concerns remain about a slowdown in the Chinese economy resulting from intensifying US-China trade friction, deterioration in corporate earnings resulting from the stronger yen, and a decline in domestic consumption following the consumption tax increase. The outlook remains uncertain.」

「However, concerns remain about a slowdown in the Chinese economy resulting from intensifying US-China trade friction and deterioration in corporate earnings resulting from the stronger yen, and the outlook remains uncertain.」

「During the fiscal year, the Japanese economy continued to recover moderately, with corporate earnings and the employment environment improving and willingness to invest in capital increasing. However, the slowdown in the Chinese economy resulting from intensifying US-China trade friction has become increasingly apparent, and concerns also remain about the effects of the UK’s departure from the EU on the global economy. The outlook therefore remains uncertain.」

「During the nine-month period ended [the current quarter], the Japanese economy continued to recover moderately, with corporate earnings and the employment environment improving and willingness to invest in capital increasing. Meanwhile, the prolonged US-China trade friction and a slowdown in the Chinese economy are becoming increasingly apparent, and the outlook remains uncertain.」

「During the six-month period ended [the current quarter], the Japanese economy continued to recover moderately, with corporate earnings and the employment environment improving and willingness to invest in capital increasing. Meanwhile, the US-China trade war became a reality, raising concerns about its effects on the global economy, and the outlook remains uncertain.」

「Meanwhile, moves toward a trade war are becoming a reality amid the global trend toward protectionism, and Japan is expected to be significantly affected depending on future developments. The situation therefore allows little room for complacency.」

「Looking overseas, although global economic growth is trending higher, the outlook remains uncertain because of factors including concerns about the rise of protectionism, rising political tensions in East Asia, future US-China relations, conditions in the Middle East, and the growing strength of populist parties in Europe.」

「During the nine-month period ended [the current quarter], the Japanese economy continued to recover moderately, supported by robust US and Chinese economies and others. Corporate earnings expanded, stock prices were on an upward trend, personal consumption and capital investment also improved, and labor shortages continued. Overseas, although global economic growth is trending higher, the outlook remains uncertain because of factors including rising political tensions in East Asia, future US-China relations, and the growing strength of populist parties in Europe.」

「Although global economic growth is trending higher, the outlook remains uncertain because of factors including rising political tensions in East Asia and uncertainty over future US-China relations.」

「Looking overseas, political and economic developments remain highly uncertain, and the outlook, including the effects on Japan, is difficult to foresee.」

「The stronger yen and weaker stock prices continued until the US presidential election last November, after which the trend reversed and the yen weakened and stock prices rose. From the start of the year, however, the yen gradually returned to a stronger trend and stock prices moved up and down, resulting in a year of significant volatility reflecting uncertainty about global conditions and the outlook.」

「During the nine-month period ended [the current quarter], the Japanese economy continued to recover moderately overall. The trend toward a stronger yen and higher stock prices that had continued since the beginning of 2016 reversed after the US presidential election in November, as expectations for US economic expansion drove a rapid shift toward a weaker yen and higher stock prices, resulting in a year of significant volatility. Meanwhile, the future direction of the US and global economies after the new president took office, and consequently the effects on Japan, remain difficult to foresee, and uncertainty about the outlook continues.」

「During the six-month period ended [the current quarter], the Japanese economy continued to recover moderately overall. However, amid the trend toward a stronger yen and weaker stock prices that had continued since the start of the year, export-oriented companies showed a marked tendency toward lower earnings, while personal consumption and capital investment continued to lack momentum. The outlook remains difficult to assess because of numerous uncertainties, including developments in the Chinese and US economies, crude oil prices, and the course of negotiations over the UK’s departure from the EU.」

「The stronger yen and weaker stock prices that had continued since the start of the year against the backdrop of global political and economic conditions persisted, while both personal consumption and capital investment stagnated. On 1 June, it was decided to postpone the consumption tax increase by 2.5 years, and on 23 June, the UK referendum expressed public support for leaving the EU. Concerns about various potential effects on the global economy and, consequently, the Japanese economy have further increased uncertainty about the outlook.」