Reuters reports that a Cabinet Office survey showed that Japan's service sector sentiment index worsened for a third straight month in January, hitting its lowest since last May after a state of emergency was reimposed in Tokyo areas and some other prefectures.

The survey of workers such as taxi drivers, hotel workers and restaurant staff showed their confidence about current economic conditions declined 3.1 points from December to 31.2.

It was the lowest level since the index hit 17.0 in May 2020, when the economy was reeling from the first wave of the pandemic and suffered its worst post-war slump.

Re-assessing the economy based on the survey's findings, the government said the economy was now weakening, downgrading its view for a third straight month.

The service sector sentiment outlook index, which indicates the level of confidence in future conditions, rose 3.8 points to 39.9 in January, up for a second straight month.