The manufacturing activity of Japan grew at a gradual pace this month compared to February, showing moderate growth in new orders which signaled that the economy slightly loses its momentum. The Flash Markit/Nikkei Japan Manufacturing Purchasing Managers Index (PMI) had slipped by 53.2 in March based on a seasonal adjustment from the final figures of 54.1 in February. The headline reading dropped for two successive months but hovered over the 50 threshold that differentiates contraction from expansion for the 19th consecutive month. IHS Markit’s Economist Joe Hayes said that the first quarter of 2018 was able to show hints of strong operating environment amid sluggish outlook of PMI in the past couple of months. The index for new orders decreased to 53.2 from 54.7 last month, however, still manage to have robust demand. While the flash index for new export orders fell to 52.5 from 54.1 in the previous month. Heyes further mentioned that the poll indicates Japanese producers are continuously dealing with the massive expansion in input prices but were able to implement additional charges shouldered by consumers which reflects that businesses are confident in the demand outlook. The Japanese economy boosted for eight straight quarters, which was the longest steady increase since the 12-quarter expansion during April-June 1986 and January-March 1989 alongside its bubble economy. Several experts advised that growth pace will slow down this year due to sluggish development in consumer expenditure.
RYCHLÉ ODKAZY
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