ZJPN - Flash Japan PMI Shows First Fall In Business Activity For 3 Years
The Japanese economy is at risk of contracting as business activity was hit in October following the sales tax increase which took effect during the month. However, the extent to which the tax change has dampened economic activity was difficult to assess because of accompanying typhoon-related disruptions, particularly in the service sector.
The latest survey data also showed that new business volumes failed to grow for the first time in three years in October, while prospects for the year ahead slipped to their gloomiest since March 2014 (the month prior to the previous sales tax