Business sentiments cool as cheap yen, costs weigh on Japan
A Bank of Japan survey has found business sentiment among large manufacturers worsened for the third straight quarter
TOKYO (AP) — Business sentiment among large manufacturers worsened for the third straight quarter, a Bank of Japan survey showed Monday, as the nation grappled with rising costs, the dropping value of the yen and restrictions on economic activity over the coronavirus pandemic.
The headline measure for the “tankan,” measuring sentiment among large manufacturers, was plus 8, down from plus 9 the previous quarter.
The tankan measures corporate sentiment by subtracting the number of companies saying business conditions are negative from those responding they are positive.
Worries are growing about how the Bank of Japan hasn’t gone along with other central banks in tightening interest rates to curb growing inflation. Japan has been trying to fight deflation in recent years and has kept interest rates at near zero.
