MNI BRIEF: Japan Sentiment Indexes Post 5th Straight Rise

Japan’s Economy Watchers sentiment index rose for a fifth straight month in September, though the government left its overall assessment of the economy unchanged, Cabinet Office data showed Wednesday.

The current conditions index, which reflects the views of workers in sectors sensitive to consumer trends, increased to a seasonally adjusted 47.1 in September from 46.7 in August. The outlook index for two to three months ahead also climbed for a fifth consecutive month, rising 1.0 point to 48.5.

Sentiment among households and in the labour market improved, while the reading for businesses declined, the survey showed.

“The economy shows signs of recovering. Looking ahead, while there are concerns over price rises and the impact of the U.S. trade policy, the recovery is likely to continue,” the government said in its assessment.

The results somewhat eased concern within the Bank of Japan that private consumption could lose momentum amid persistent high living costs and weak indicators related to household spending.