Japan: Core machinery orders deteriorates in May
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—plunged 5.6% month-on-month in seasonally-adjusted terms in May (April: +10.8% mom).
On an annual basis, machinery orders rose at a softer pace of 7.4% in May (April: +19.0% yoy). Accordingly, the trend pointed down, with the annual average growth of machinery orders coming in at 10.0% in May, down from April’s 10.4% reading.