Reuters Tankan manufacturing index rose to -33 in August, up from -44. While still deeply negatively, the reading was already the best since April’s -30. Further improvement in manufacturers’ mood is expected as they forecast rise to -22 in November.
No manufacturing index also rose slightly to -23, up from last month’s -26, standing at the same level as April’s. However, deterioration is expected ahead, with the index forecast to drop back to -26 in November.
Respondents noted that demands remain weak despite improving from Q1. Us-China trade tensions present uncertainty for the outlook. The survey, designed to track BoJ’s Tankan, polled 495 large- and mid-sized non-financial companies, of which 232 firms responded.
