Economic and financial market uncertainty stemming from the Kumamoto Earthquake, the UK’s withdrawal from the EU and other factors

「Although mortgage rates at financial institutions continue to rise following the Bank of Japan's gradual rate hikes, the impact on consumer sentiment of higher import prices against the backdrop of developments in U.S. tariff policy and geopolitical risks remains an issue requiring close monitoring.」

「Uncertainty in the international economy is increasing due to the future direction of the protectionist trade policies proposed by the new U.S. administration that took office in the second half of the fiscal year, stagnation in the Chinese economy, and protracted conflicts in Europe and the Middle East.」

「However, concerns remain over the impact on Japan's domestic economy of the chaotic international situation, including stagnation in the Chinese economy typified by the property downturn, protracted conflicts involving Russia and Ukraine and in the Middle East, and political developments in Europe and the United States.」

「During the fiscal year, Japan's economy was significantly affected by shortages of goods and higher prices caused by the global stagnation in trade resulting from Russia's invasion of Ukraine, in addition to COVID-19. In the second half of the fiscal year, the economy showed signs of a gradual recovery, particularly in personal consumption and employment, partly due to the effects of various policies anticipating the post-COVID period. However, it remains necessary to pay close attention to the impact of rising prices, supply-side constraints, and volatility in the financial and capital markets.」

「During the first 6 months of the fiscal year, Japan's economy gradually recovered as the transition to a new phase of living with COVID-19 progressed. However, it remains necessary to pay close attention to the impact of rising prices, supply-side constraints, and volatility in the financial and capital markets.」

「However, concerns remain over the prolonged situation in Ukraine and the impact of restrictions on economic activity in China. In addition to rising raw material prices and supply-side constraints, it is necessary to pay close attention to downside risks arising from volatility in the financial and capital markets and a renewed spread of infectious diseases.」

「During the fiscal year, Japan's economy remained in difficult conditions due to COVID-19, as it had the previous year, although corporate earnings showed some signs of recovery. The economy also showed signs of partial improvement as vaccination rates rose, but employment conditions and personal consumption remained weak. A gradual recovery is expected as entry restrictions are eased in stages, but it remains necessary to monitor not only developments in the pandemic in Japan and overseas, but also the situation in Eastern Europe and volatility in the financial and capital markets.」

「Since the third quarter of the fiscal year, Japan's economy has shown signs of recovery as the severe conditions caused by COVID-19 have gradually eased. However, it is necessary to pay close attention to the downside risk to the economy from the rapid spread of the Omicron variant, which is considered to be more transmissible.」

「During the first 6 months of the fiscal year, Japan's economy remained in difficult conditions due to COVID-19. Although some recovery in economic activity continued, signs of a slowdown emerged amid weak personal consumption. The economy is expected to recover gradually as restrictions on activities are eased in stages, but it remains necessary to closely monitor the impact of developments in the pandemic in Japan and overseas and volatility in the financial and capital markets.」

「During the first quarter of the fiscal year, Japan's economy remained in difficult conditions due to COVID-19. Although corporate earnings generally began to recover, employment conditions and personal consumption remained weak. An economic recovery is expected alongside progress in vaccinations, but it remains necessary to pay close attention to the impact of developments in the pandemic on the domestic and overseas economies.」

「During the fiscal year, Japan's economy was severely affected by COVID-19. Economic activity contracted, particularly because restrictions on movement following the issuance of the first state of emergency at the beginning of the fiscal year and declining consumer willingness to spend amid anxiety over the spread of the virus.」

「Since the third quarter of the fiscal year, Japan's economy has remained in extremely difficult conditions due to the impact of COVID-19, and it is necessary to pay close attention to the increasing downside risk to the economy from the spread of infections in Japan and overseas.」

「Although extremely difficult conditions caused by the COVID-19 pandemic continued, signs of an economic recovery emerged as economic activity resumed. However, the outlook remains uncertain, and it is necessary to closely monitor the impact of developments in the pandemic in Japan and overseas and volatility in the financial and capital markets.」

「During the first 9 months of the fiscal year, Japan's economy continued to recover gradually as employment and income conditions improved and various policies took effect. Meanwhile, it is necessary to pay even closer attention to the impact of developments in trade issues on the global economy, as well as the outlook for the Chinese economy, overseas economic trends including the United Kingdom's withdrawal from the EU, volatility in the financial and capital markets, and consumer sentiment after the consumption tax rate increase.」

「During the first 6 months of the fiscal year, Japan's economy remained on a gradual recovery trend. Although exports remained weak, employment conditions improved and corporate earnings remained firm. However, it is necessary to monitor the impact of rising tensions over trade issues on the global economy, as well as the outlook for the Chinese economy, uncertainty regarding overseas economic trends and policy, rising crude oil prices, and volatility in the financial and capital markets.」

「During the first quarter of the fiscal year, Japan's economy continued to recover gradually as employment and income conditions improved and various policies took effect. Meanwhile, it is necessary to pay even closer attention to the impact of developments in trade issues on the global economy, as well as the outlook for the Chinese economy, uncertainty regarding overseas economic trends and policy, and the impact of volatility in the financial and capital markets.」

「During the fiscal year, Japan's economy continued to recover gradually as employment and income conditions improved and various policies took effect. Meanwhile, considerable uncertainty remains regarding the impact of trade issues on the global economy, the outlook for the Chinese economy, overseas economic trends and policy, and the impact of the consumption tax increase scheduled for October 2019 continues to require close monitoring.」

「During the first 9 months of the fiscal year, Japan's economy remained on a gradual recovery trend, as corporate earnings and employment conditions continued to improve and personal consumption also showed signs of recovery. Meanwhile, the economic outlook remains unpredictable, including as the effects of U.S. monetary policy have emerged in the equity and foreign exchange markets.」

「During the first 6 months of the fiscal year, Japan's economy remained on a gradual recovery trend, with corporate earnings and employment conditions improving as exports and production recovered on the back of solid growth in overseas economies. However, the outlook for the economy remains uncertain due to the impact of U.S. protectionist trade policies on the global economy and rising geopolitical risks surrounding Asia.」

「During the fiscal year, Japan's economy remained on a gradual recovery trend, supported by the effects of the government's economic measures and the Bank of Japan's monetary easing, while employment and income conditions continued to improve. However, the outlook remains uncertain because the consumer price index is expected to remain broadly flat, and geopolitical risks and uncertainty in overseas economies arising from economic trends in emerging Asian countries and elsewhere and policy developments in Europe and the United States persist.」

「During the first 9 months of the fiscal year, Japan's economy remained on a gradual recovery trend, supported by continued improvement in employment and income conditions and the effects of the government's economic policies and the Bank of Japan's monetary easing. However, the outlook remains uncertain due to uncertainty in overseas economies arising from economic trends in emerging Asian countries and elsewhere and policy developments in Europe and the United States, as well as volatility in the financial and capital markets.」

「However, geopolitical risk factors, including tensions among East Asian countries and U.S. policy direction, continue to leave the outlook uncertain.」

「Meanwhile, downside risks remained from economic uncertainty arising from overseas political conditions and volatility in financial and capital markets, and continued monitoring was considered necessary.」

「Meanwhile, the economic outlook remained uncertain due to uncertainty in overseas economies arising from the UK's Brexit issue and policy management by the new US administration, among other factors.」

「During the cumulative third-quarter period, corporate earnings remained at a high level but showed signs of leveling off, and companies took a cautious view of business conditions. Although employment conditions improved, foreign exchange rates and share prices became increasingly unstable, while uncertainty about the outlook for personal consumption continued.」

「During the cumulative second-quarter period, Japan's economy showed signs of improvement in employment and income conditions and continued on a moderate recovery trend. However, uncertainty remained over economic trends amid concerns about the impact of the UK's Brexit issue and economic downturns in emerging and resource-rich countries, including China.」

「Although corporate earnings and employment conditions in Japan were improving, concerns grew that the Kumamoto Earthquake would weigh on consumer sentiment. In addition, global equity and financial markets were roiled by the UK's decision in its referendum to leave the EU, leading to a stronger yen and falling share prices in Japan, and uncertainty about the economic outlook continued.」