November 22, 2024 at 12:34AM
Flash PMI from Japan – manufacturing November 2024
Jibun Bank / S&P Global
In summary from the report:
Contraction Continues: Japanese private sector activity contracted for the second month in November, though the decline was less pronounced than in October (49.6).
Services vs. Manufacturing: Service providers saw slight activity growth, while manufacturing output fell sharply, marking the steepest drop since April.
Demand Stagnation: Overall demand remained stagnant, with new business in services steady but manufacturing new orders declining for the 18th consecutive month.
Job Growth: Employment rose at the fastest pace in four months, supported by an increase in outstanding business.
Elevated Price Pressures: Input costs remained high due to expensive raw materials and a weak yen, with firms accelerating price hikes for goods and services to offset these costs.
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I spoke earlier that the CPI data would provide support for arguments for a rate hike:
Japan October headline CPI +2.3% (expected +2.2%, prior 2.5%)
This PMI data argues the opposite!
This article was written by Eamonn Sheridan at www.forexlive.com.
