Japan: Economy Watchers Survey sentiment likely to have improved slightly - Nomura

Analysts at Nomura expect Japan’s grassroots sentiment to have improved slightly month-on-month in September.

Key Quotes

“The September Nikkei Japan Manufacturing PMI rose month-on-month, although the effects of natural disasters could have been a distorting factor. The sales DI in the Japan Finance Corp (JFC) Monthly Survey on SME Trends also rose month-on-month, the first rise for two months.”

“The consumer confidence index (CCI), an indicator of household economic sentiment, rose slightly month-on-month in September (the asset value index also experienced a large rise, but it is not a factor in the CCI). The willingness to buy durable goods index also rose.”

“During the survey period of 25-28 September, the Nikkei 225 was much higher than it was a month earlier, and we therefore expect a favorable impact from higher asset prices, as indicated in the above-referenced asset value index.”