• Japan manufacturing PMI declined in March, signalling a weaker improvement in overall business conditions

Market news

22 March 2018

Japan manufacturing PMI declined in March, signalling a weaker improvement in overall business conditions

  • Flash Japan Manufacturing PMI declines in March to 53.2, from 54.1 in February.

  • New orders increase, albeit to weakest extent in five months.

  • Job creation eases amid joint-softest pace of output growth since July 2017.

Commenting on the Japanese Manufacturing PMI survey data, Joe Hayes, Economist at IHS Markit, which compiles the survey, said: "The headline PMI declined in March, signalling a weaker improvement in overall business conditions in the manufacturing sector. Output, new order and employment growth rates all slowed, while longer lead times continued to impact supply capacities. "That said, with new business increasing for an eighteenth straight month, firms raised output prices to a quicker extent, signalling confidence in the demand climate and purchasing power of their clients. Despite two months of weaker headline PMI readings, the 2018 Q1 average still signals a robust operating environment."

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