Japan Business Mood Worsens For First Time In 7 Quarters
The Bank of Japan's latest Tankan survey shows business sentiment among both major manufacturers and non-manufacturers worsened for the first time in seven quarters.
The soaring cost of raw materials in the wake of the Russian invasion of Ukraine is seen as a major cause.
The BOJ polled nearly 10,000 companies from late February through the end of March. It said on Friday that the index for large manufacturers stood at plus 14. That's down three points from the previous survey in December.
The latest reading for large non-manufacturers came to plus nine, a decline of one point.
A positive number indicates that more companies feel business is good than those saying it is bad.
The pace of recovery picked up as the impact of the coronavirus pandemic continued to ease.
But higher material costs are squeezing corporate earnings.
The central bank survey shows worsening sentiment among both large manufacturers and non-manufacturers three months from now.