Japan factory activity dwindles on weak output
September had seen Japan’s factory activity declining further as output weakened. This followed after the country struggled to maintain the economy’s recovery from the coronavirus crisis.
The au Jibun Bank Flash Japan Manufacturing Purchasing Managers’ Index (PMI) was read at 47.3 in September, placing a shade higher than the 47.2 reading seen in August.
Meanwhile, output was monitored dropping at a faster pace for the first time in four months, marking its 17th month below the 50 threshold that separates growth from contraction.
While Japan’s factory activity remains weak, other indicators in the manufacturing survey such as new orders and suppliers’ delivery times declined the slowest since January. More so, manufacturers’ views on future output advanced to more than a two-year peak.