In the Bank of Japan’s Tankan survey, business sentiment among large manufacturers improved for the sixth consecutive period, reaching an 8-year high. Uncertainty remains over the outlook, however.
According to the Bank of Japan’s Tankan survey, business sentiment among large manufacturers improved for the sixth consecutive period. This marked the sixth consecutive improvement, with sentiment viewed as having reached its highest level in 8 years.
While the rise in the indicator suggests a recovery in domestic corporate activity, attention is being drawn to the uncertain outlook for prices and procurement costs. Future trends in demand and changes in cost structures could affect corporate investment decisions.
Market participants are watching future Tankan results and related indicators to assess whether the economic recovery will continue. Uncertainty over the outlook is being highlighted at present.