Economic uncertainty caused by a slowdown in China and emerging markets and currency fluctuations

「At the same time, concerns remain about a decline in inbound demand due to higher fuel costs and the impact of international conditions. The risk of economic effects, including volatility in energy and material prices, remains high due to the foreign policies of the United States and China and conflicts in the Middle East and Ukraine, and the situation continues to require close monitoring. If the turmoil in the Middle East is prolonged, the entire supply chain could also be constrained by shortages of raw materials, and the situation remains unpredictable.」

「Risks of economic impacts, including fluctuations in energy and material prices, remain high due to the foreign policies of the United States and China and conflicts in the Middle East and Ukraine, and the situation continues to require close monitoring.」

「During the interim consolidated fiscal period under review, Japan's economy was trending upward, with business sentiment also beginning to improve against a backdrop of wage increases. The cumulative number of visitors to Japan surpassed 30 million by September at the fastest pace on record, inbound consumption remained strong from the previous year, and capital investment also showed signs of recovery. Overall, the economy was recovering gradually despite uncertainty about the outlook. Meanwhile, although AI-related trade, centered on the United States, was increasing and global economic growth was accelerating, future developments remained uncertain due to the impact of conflicts in the Middle East and Ukraine and US tariff policies, warranting close monitoring to determine whether the Japanese economy might lose momentum.」

「Meanwhile, uncertainty is increasing in international conditions due to geopolitical tensions, including conflicts in the Middle East and Ukraine, concerns about a slowdown in economic activity resulting from US tariff policies, and sharp currency fluctuations, making the economic outlook subject to even closer monitoring.」

「During the interim consolidated fiscal period under review, business sentiment continued to improve, supported by factors including increased inbound consumption and progress in passing on higher costs, with the number of visitors to Japan reaching a record high for the eighth consecutive month. Positive trends also continued, including strong capital investment appetite and accelerating wage growth. Meanwhile, international conditions involved issues such as conflicts in the Middle East and Ukraine and the decline in China's economic growth rate, the impact of the presidential election on the US economy and excessive currency fluctuations. In Japan, concerns also remained about economic policy delays resulting from political instability and the Bank of Japan's monetary policy, including additional interest rate hikes, so the impact on economic conditions going forward warrants close monitoring.」

「During the third quarter of the consolidated fiscal year under review, business sentiment was improving in both the manufacturing and services sectors, and many changes were seen toward economic normalization, including progress in wage increases and the pass-through of higher costs. Meanwhile, conflicts in the Middle East and Ukraine remained tense, and international conditions continued to warrant close monitoring, including the impact on the US economy of the presidential election to be held this autumn and the decline in China's economic growth rate.」

「Meanwhile, the economic outlook remains subject to close monitoring, including the decline in China's economic growth rate, the impact of monetary policies pursued by central banks in various countries, and disruption caused by conflicts in Ukraine and Palestine.」

「During the first quarter of the consolidated fiscal year under review, inbound demand recovered to approximately 90% of pre-COVID levels following the reclassification of COVID-19 as a Class 5 infectious disease. Further growth in inbound demand and an improvement in private consumption are expected. Meanwhile, China's economic recovery has lacked momentum following the end of its zero-COVID policy, and the economic outlook remains subject to close monitoring due to the impact of changes in central bank monetary policies and the stagnation resulting from the prolonged situation in Ukraine and other factors.」

「During the consolidated fiscal year under review, private consumption and capital investment trended upward. Although China's policy shift on COVID-19 and other factors provided positive support for an economic recovery, the economic outlook remained uncertain due to downside risks associated with the prolonged situation in Ukraine and other factors.」

「During the third quarter of the consolidated fiscal year under review, private consumption and capital investment trended upward. Although there were signs of an economic recovery following China's policy shift on COVID-19 and expectations for an economic upswing accompanying changes in the monetary policies of central banks in various countries, the economic outlook remained uncertain due to accelerating inflation resulting from the prolonged situation in Ukraine and other factors.」

「During the second quarter of the consolidated fiscal year under review, the Japanese economy generally continued to recover from the decline caused by COVID-19, but the economic outlook remained uncertain due to accelerating inflation resulting from the prolonged situation in Ukraine, further supply chain disruption caused by restrictions on economic activity in China, and concerns about an economic recession accompanying monetary tightening by central banks in various countries.」

「During the first quarter of the consolidated fiscal year under review, private consumption showed signs of recovery as restrictions on activities related to COVID-19 were eased, but many factors adversely affecting corporate earnings emerged, including surging resource prices, yen depreciation and supply chain stagnation caused by lockdowns in Chinese cities. More recently, the outlook for the economy has remained uncertain due to the resurgence of COVID-19.」

「During the consolidated fiscal year under review, business sentiment improved as restrictions on activities were eased, but the outlook became more uncertain than before due to disruptions to global supply chains resulting from the situation in Ukraine and the spread of global inflation concerns. In Japan, the outlook for the economy also remained difficult to foresee amid surging resource prices and the rapid depreciation of the yen.」

「Meanwhile, there are risks from surging resource prices and concerns about global inflation, as well as the spread of COVID-19 variants, and the economic outlook remains uncertain.」

「However, capital investment varied considerably by industry, while the economic outlook remained uncertain amid concerns about the impact on financial markets of the spread of COVID-19 variants and a management crisis at a major Chinese property company.」

「During the first quarter of the consolidated fiscal year under review, Japan's economy showed signs of recovery in corporate earnings, with exports trending upward and manufacturing activity recovering, while private consumption remained sluggish as a resurgence of COVID-19 led to the issuance of a state of emergency declaration, leaving the outlook uncertain.」

「During the third quarter of the consolidated fiscal year under review, Japan's economy showed signs of improvement due to various economic recovery policies, but the outlook became uncertain as restrictions on economic activity were tightened amid the global resurgence of COVID-19.」

「However, COVID-19 was beginning to spread again, particularly in Europe and North America, raising concerns about further deterioration in corporate earnings and the employment environment, and leaving the outlook uncertain.」

「During the first quarter of the consolidated fiscal year under review, Japan's economy saw exports decline and private consumption fall under the impact of a nationwide mood of self-restraint due to the global spread of COVID-19, leaving the outlook uncertain.」

「During the consolidated fiscal year under review, Japan's economy remained relatively firm, with capital investment in IT-related areas and others increasing, despite the impact of a global economic slowdown resulting from US-China trade friction and the UK's withdrawal from the EU. However, the global spread of COVID-19 that began toward the end of the fiscal year caused a sharp economic slowdown, leaving the outlook uncertain.」

「During the third quarter of the consolidated fiscal year under review, capital investment, including investment in information technology, remained at a certain level, supported by the use of IT technologies, but exports were sluggish as the global economy lacked momentum against a backdrop of US-China trade friction, a slowdown in China's economy and the UK's withdrawal from the EU, and the outlook for the domestic economy could not be viewed optimistically.」

「During the second quarter of the consolidated fiscal year under review, capital investment remained at a certain level, but exports were sluggish as the global economy lacked momentum against a backdrop of US-China trade friction and a slowdown in China's economy, and the outlook for the domestic economy could not be viewed optimistically.」

「During the first quarter of the consolidated fiscal year under review, Japan's economy experienced sluggish exports against a backdrop of a global economic slowdown and a strong sense of stagnation, while construction investment trended upward due to large-scale factory construction in the manufacturing sector and replacement demand arising from aging facilities, and capital investment remained firm. Meanwhile, uncertainty about the outlook for overseas economies remained high due to US-China tensions and the increasingly tense situation in the Middle East, and the outlook for the domestic economy could not be viewed optimistically.」

「During the consolidated fiscal year under review, Japan's economy saw sluggish exports against a backdrop of a gradual slowdown in the global economy, but capital investment remained firm, supported by active urban redevelopment and solid office demand, while private consumption also recovered gradually. Although measures by the Chinese government to support the economy are expected to halt the slowdown, international conditions, including Japan-US trade friction, remain subject to close monitoring, and the outlook for the domestic economy cannot be viewed optimistically.」

「International conditions remain subject to close monitoring, including global economic downside risks resulting from a slowdown in China's economy and increasingly protectionist US trade policies, while the outlook for the domestic economy remains uncertain.」

「Meanwhile, there are also concerns about downside risks resulting from US protectionist policies and escalating trade friction with China.」

「Meanwhile, political conditions in the United States and on the Korean Peninsula remain uncertain, raising concerns about their potential impact on economic conditions going forward.」

「Meanwhile, there are many concerns overseas, including US political developments and conditions in East Asia. International conditions remain subject to close monitoring, and the domestic economy also requires attention to the potential impact of fluctuations in the financial and capital markets, leaving the outlook uncertain.」

「Meanwhile, international conditions remain subject to close monitoring, including concerns about the impact on the global economy of the situation on the Korean Peninsula and policies pursued by US political leaders, while the domestic economy also remains uncertain.」

「Meanwhile, international conditions remain subject to close monitoring, including the impact on the Japanese economy of policies pursued by the new US administration and concerns about a slowdown in China's economy, while the outlook for the domestic economy remains uncertain.」

「Meanwhile, international conditions remain subject to close monitoring, including the impact on the Japanese economy of policies pursued by the new US administration and concerns about a slowdown in China's economy, while the outlook for the domestic economy remains uncertain.」

「Meanwhile, international conditions remain subject to close monitoring, including the potential impact on the Japanese economy if the United States implements protectionist policies and uncertainty in the economies of various countries, while the outlook for the domestic economy remains uncertain.」

「Meanwhile, amid concerns about a slowdown in the global economy due to slower economic growth in China and the impact of the UK's withdrawal from the EU, international conditions remain subject to close monitoring, and uncertainty about the outlook for the domestic economy is increasing.」

「Since the start of the year, the yen has appreciated rapidly and stock prices have remained sluggish, creating a stagnant atmosphere. The issue of the UK's withdrawal from the EU has also arisen, and although the outlook remains uncertain,」

「Amid concerns about downside risks to the economies of China and emerging markets and a sharp decline in crude oil prices, uncertainty has increased, including through the rapid appreciation of the yen, and economic conditions going forward warrant close monitoring.」