Japan: Core machinery orders bounce back in July
September 15, 2021
Core machinery orders—which cover the private sector, exclude volatile orders and are a leading indicator for capital spending over the coming three-to-six-month period—grew 0.9% in month-on-month seasonally-adjusted terms in July, which contrasted June's 1.5% decrease.
On an annual basis, machinery orders rose at a softer pace of 11.1% in July (June: +18.6% yoy). Meanwhile, the trend improved significantly, with the annual average variation of machinery orders coming in at plus 0.7%, contrasting June's minus 1.4% reading.
Author: Stephen Vogado, Economist