Core Machinery orders data, from Japan
-3.6% m/m for a big miss on expectations and below the prior m/m change also. It's the fastest fall on a m/m basis since August of last year
- expected +1.7%, prior -3.1%
And +0.6% y/y, ditto
- expected +7.6%, prior 2.7%
In the face of this data the government has cut its assessment for machinery orders growth. Says its stalling.
A negative on the economy this lot of data. It raises worries that business is turning cautious on investing. Having said this not that this ia very volatile data set. On the face of it a negative for the yen as it implies continued Bank of Japan accommodative policy. But, that is not going away any time soon anyway with inflation nowhere near target.
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From the Cabinet Office, private sector machinery orders (excluding ship and power equipment)
- Total value of machinery orders received by around 280 Japanese manufacturers
- An indicator of capex to come in around 6-9 months time
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Out at the same time was the BoP current account (separate post).
Also:
- Bank Lending excluding trusts June, +3.3% y/y: expected 3.3%, prior 3.3%
- Bank Lending including trusts June +3.3% y/y: expected 3.3%, prior 3.3%
This data is for outstanding loans & outstanding commercial paper at Japan's four main categories of banks including the credit union shinkins.
