Japan: Machinery orders drop in November
January 16, 2017
Core machinery orders (a leading indicator of capital spending over a three- to six-month period) in Japan fell in November after briefly recovering in the previous month. Headline machinery orders (private sector, excluding volatile orders) fell 5.1% in November from the previous month in seasonally adjusted terms, which contrasted the 4.1% increase recorded in October.
Overall non-manufacturing orders contracted sharply in November, while overall manufacturing orders and export orders rose. Compared to the same month of the previous year, core machinery orders increased 10.4% in November, which contrasted the 5.6% fall observed in October. The annual average variation in core machinery orders rose from 0.2% in October to 0.8% in November.
Author: Oliver Reynolds, Economist