Japan June industrial output seen down on auto production suspention: Reuters poll
2024.07.26 00:58
TOKYO (Reuters) – Japan’s industrial output likely fell in June, reversing from gains made the previous month, led by suspension of some auto production, a Reuters poll found on Friday.
Retail sales were seen rising last month, while job data will likely stay steady for the month, according to the poll.
A series of economic data will come out ahead of the Bank of Japan’s two-day monetary meeting that ends on Wednesday.
The central bank is likely to debate whether to raise interest rates and lay out details on how it plans to taper its huge bond purchases.
Industrial output was seen falling 4.8% in June from the previous month, the poll of 18 analysts showed on Friday, following a 3.6% increase in May.
“Falls in production of semiconductor manufacturing equipment continued and the impact of auto certification misconduct issue is likely to be felt in the output of the transport machineries,” analysts at SMBC Nikko Securities wrote in a note.
Next week’s data also includes retail sales, which likely rose 3.2% in June from a year earlier after a revised 2.8 growth in May. Economists expect sales of home appliances such as air conditioners and summer clothing performed solidly due to high temperatures.
The trade ministry will announce both factory output and retail sales at 8:50 a.m. on Wednesday, July 31 (2350 GMT Tuesday).
Japan’s jobless rate was expected to be steady at 2.6% in June and the jobs-to-applicants ratio was also unchanged at 1.24 last month, the poll found.
The jobs data will be released at 8:30 a.m. on Tuesday.
Japan’s economy shrank more than expected in the first quarter, darkening prospects for a fragile recovery.
