Japan’s factory output contracts less than expected in Nov
2024.12.26 19:45
Investing.com– Japan’s factory output contracted at a slower-than-expected pace in November from the previous month, government data showed on Friday.
fell 2.3% in November from the previous month, data released by the Ministry of Economy, Trade and Industry (METI) on Monday showed, missing a median market forecast for a 3.4% fall, and compared with a 2.8% rise in October.
Manufacturers surveyed by the Ministry of Economy, Trade and Industry expect seasonally adjusted output to fall 2.1% and 1.3% in November, and December respectively.
Separate data showed Japanese rose 2.8% in November from a year earlier, beating expectations for growth of 1.5%.
Today’s figures will be closely analyzed for their implications on the Bank of Japan’s decisions, especially as policymakers monitor domestic resilience against global economic headwinds and political uncertainties.
The Bank of Japan (BOJ) is expected to hike its policy rate by 25 basis points at an upcoming meeting in January, after it kept rates unchanged this month.
Earlier this week, BOJ Governor Kazuo Ueda said that the economy is expected to make progress toward sustainably reaching the central bank’s 2% inflation target next year, hinting that an interest rate hike could be approaching.
