Business
20:30, 10-Aug-2017
Japan's June core machinery orders unexpectedly fall
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Japan's core machinery orders unexpectedly fell for a third consecutive month in June, underscoring companies' reluctance to boost spending and conflicting with recent signs that the country's economic recovery is gathering momentum.
Core orders suffered a second straight quarter of declines in April-June, the first instance of consecutive quarterly falls since 2012. This casts doubt on policymakers' optimism that brightening business sentiment will drive up capital expenditure ahead.
Core orders, regarded as an indicator of capital spending in the coming six to nine months, decreased by 1.9 percent in June from the previous month, confounding a median market forecast for a 3.7-percent increase, Cabinet Office data showed on Thursday.
It followed a 3.6-percent tumble in May that prompted the government to cut its assessment on machinery orders.
Source(s): Reuters