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Japan Core Machine Orders Gain 3.5% In July

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
rttnewslogo20mar2024

Core machine orders in Japan climbed 3.5 percent on month in July, the Cabinet Office said on Wednesday - worth 771.7 billion yen.

The headline figure was shy of forecasts for an increase of 4.0 percent following the 8.8 percent spike in June.

On a yearly basis, core machine orders were up 1.1 percent - topping expectations for a gain of 0.5 percent following the 3.0 percent contraction in the previous month.

The total number of machinery orders, including those volatile ones for ships and from electric power companies, tumbled 13.5 percent on month and gained 6.1 percent on year in July to 2,201.3 billion yen.

Manufacturing orders surged 20.3 percent on month and 13.4 percent on year to 363.9 billion yen in June, while non-manufacturing orders shed 4.3 percent on month and 7.4 percent on year to 425.0 billion yen.

Government orders gained 9.3 percent on month and 6.1 percent on year to 302.4 billion yen. Orders from overseas plummeted 42.6 percent on month and gained 4.4 percent on year to 816.9 billion yen. Orders from agencies added 2.3 percent on month and 11.3 percent on year to 106.5 billion yen.

For the third quarter of 2014, core machine orders are forecast to rise 2.9 percent on quarter but fall 2.3 percent on year to 2,348.4 billion yen.

Also on Wednesday, the Bank of Japan said that its index measuring domestic corporate goods prices was down a seasonally adjusted 0.2 percent on month in August.

That missed forecasts for a flat reading following the upwardly revised 0.4 percent increase in July (originally 0.3 percent).

On a yearly basis, corporate goods prices were up 3.9 percent - also shy of expectations for a gain of 4.1 percent following the 4.3 percent increase in the previous month.

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