Japan Cabinet Office left overall economic assessment unchanged and said it’s in gradual recovery. However, export assessment was downgraded from “flattened” to “weakened recently”. In particular, shipments of electronics and semiconductor manufacturing equipment to China have slowed sharply.
The office noted in the monthly report that “we need to keep in mind that there is uncertainty about how trade disputes and China’s economic outlook will affect the global economy.”
On inflation, the report noted that consumer prices have leveled off. It’s another downgrade from last month’s description that gains were slowing. Consumer spending was recovering while capital expenditure was increasing. Both assessments were unchanged.
