ID :
23641
Fri, 10/10/2008 - 14:58
Auther :
Shortlink :
https://oananews.org//node/23641
The shortlink copeid
Japan's August core machinery orders weakest in 5 years+
TOKYO, Oct. 9 Kyodo - Japan's core private-sector machinery orders fell a larger-than-expected seasonally adjusted 14.5 percent in August from the previous month to 891.7 billion yen, the lowest level in over five years, as rising energy and material costs dampened corporate appetite for fresh capital spending, the government
said Thursday.
The reading, widely regarded as a key indicator for business investment some
six months ahead, was much weaker than the average market forecast of a 3.3
percent decline in a Kyodo News survey.
The value of the orders was the lowest since April 2003 when it came to 849.8
billion yen, the Cabinet Office said.
On a year-on-year basis, the orders represented an unadjusted 13.0 percent
fall, also a faster rate of decline than the forecasted 2.5 percent.
Machinery orders have been ''decreasing,'' the office said, downgrading its
assessment of the basic trend. For the previous month, it said they were
''weakening.''
The core orders exclude those for ships and from electric power companies as
they tend to vary widely due to their large size.
Orders from manufacturers fell a seasonally adjusted 13.9 percent from July to
395.3 billion yen, while those from nonmanufacturers slid 14.9 percent to 500.8
billion yen.
Among industries that contributed to the overall decline were electric
machinery, auto, chemical and transportation as well as agriculture, forestry
and fisheries.
Orders from electric machinery makers dropped 26.5 percent, reflecting a
decline in orders for such products as semiconductor-making devises and nuclear
power turbines.
Orders from the public sector lost 4.4 percent to 219.1 billion yen. Meanwhile,
demand from overseas rose 14.8 percent to 1.07 trillion yen in a sharp
turnaround from the 14.4 percent fall the previous month.
On outlook, the government has expected the core machinery orders to drop 3.0
percent in the July-September period from the previous quarter. However, the
sharp fall in August makes it more difficult to meet the projection.
The Cabinet Office said the core orders must record an unprecedented 32.2
percent rise in September to match the forecast, and that if the upcoming data
remains at the same level as August, the quarterly figure would come to around
an 11.9 percent fall.
The office examined orders received by 280 major machinery makers in Japan.
said Thursday.
The reading, widely regarded as a key indicator for business investment some
six months ahead, was much weaker than the average market forecast of a 3.3
percent decline in a Kyodo News survey.
The value of the orders was the lowest since April 2003 when it came to 849.8
billion yen, the Cabinet Office said.
On a year-on-year basis, the orders represented an unadjusted 13.0 percent
fall, also a faster rate of decline than the forecasted 2.5 percent.
Machinery orders have been ''decreasing,'' the office said, downgrading its
assessment of the basic trend. For the previous month, it said they were
''weakening.''
The core orders exclude those for ships and from electric power companies as
they tend to vary widely due to their large size.
Orders from manufacturers fell a seasonally adjusted 13.9 percent from July to
395.3 billion yen, while those from nonmanufacturers slid 14.9 percent to 500.8
billion yen.
Among industries that contributed to the overall decline were electric
machinery, auto, chemical and transportation as well as agriculture, forestry
and fisheries.
Orders from electric machinery makers dropped 26.5 percent, reflecting a
decline in orders for such products as semiconductor-making devises and nuclear
power turbines.
Orders from the public sector lost 4.4 percent to 219.1 billion yen. Meanwhile,
demand from overseas rose 14.8 percent to 1.07 trillion yen in a sharp
turnaround from the 14.4 percent fall the previous month.
On outlook, the government has expected the core machinery orders to drop 3.0
percent in the July-September period from the previous quarter. However, the
sharp fall in August makes it more difficult to meet the projection.
The Cabinet Office said the core orders must record an unprecedented 32.2
percent rise in September to match the forecast, and that if the upcoming data
remains at the same level as August, the quarterly figure would come to around
an 11.9 percent fall.
The office examined orders received by 280 major machinery makers in Japan.
