Japan manufacturers' confidence slips to 2-year low - Reuters Tankan

According to the Reuters monthly poll that tracks the Bank of Japan’s (BoJ) closely watched Tankan quarterly survey, confidence among Japanese manufacturers dipped for a third straight month in January to a two-year low amid global growth concerns and looming trade tensions.

Key Findings:

“The sentiment index for manufacturers stood at 18, down five points from the previous month, dragged down by declines in sectors such as steel and automobiles, according to the survey conducted Jan. 7-16.

The index is expected to fall further to 17 in April.

Underpinned by retailers, the service-sector index held steady at 31 in January reflecting firmness in private consumption, which accounts for about 60 percent of the economy.

The service-sector index was seen slipping to 27 in April.

In the Reuters poll of 480 large- and mid-sized companies, in which 480 firms responded on condition of anonymity, exporters complained about lack of demand in China and the United States and voiced concerns about the trade war between Japan’s two major trading partners.”