Source: (HIS Markit)
Japan Composite PMI output index dropped to 47.7 in July, from 48.9 recorded in June as private sector activity waned.
USDJPY is down -0.16%, NI225 is up +1.04%.
- The Manufacturing Output Index remained narrowly in the expansion zone after falling from 50.7 in June to 50.5 in July.
- Manufacturing output and order growth smoothened to six-month lows due to the increasing Covid-19 cases and delays in receiving raw materials.
- The demand for labor eased in July, and the rate of job creation was at the lowest since April.
- The Service Business Activity Index moved down from 48.0 in June to 46.4 in July.
- Private sector input costs rose substantially and rose the fastest since September 2008.
- Japanese private sector is optimistic that the business condition will look up with the rollout of Covid-19 vaccination that could see restrictions in movements lifted.