The Bank of Japan's Tankan index for big manufacturers' sentiment plunged to an eleven-year low of -34 in the second quarter of 2020, worse than market consensus of -31, as the coronavirus pandemic hit activity and global demand. Sentiment deteriorated the most among firms producing motor vehicles (-72 vs -17 in Q1), lumber & wood products (-53 vs 0), iron & steel (-58 vs -15), pulp & paper (-33 vs 4), general-purpose machinery (-26 vs 0), production machinery (-37 vs 0), electrical machinery (-28 vs -3), business-oriented machinery (-29 vs -6) and shipbuilding (-46 vs -29). Big firms plan to raise their capital spending by 3.2 percent, up from 1.8 percent in the previous quarter and above a 2.1 percent expected by consensus. Among non-manufacturing large firms, sentiment tumbled to a 10-1/2-year low of -17, and compared with expectations of -18.
Business Confidence in Japan averaged 1.23 points from 1983 until 2020, reaching an all time high of 53 points in the second quarter of 1989 and a record low of -58 points in the first quarter of 2009. This page provides - Japan Business Confidence - actual values, historical data, forecast, chart, statistics, economic calendar and news. Japan Business Confidence - data, historical chart, forecasts and calendar of releases - was last updated on August of 2020. source: Bank of Japan
Business Confidence in Japan is expected to be -27.00 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Business Confidence in Japan to stand at -6.00 in 12 months time. In the long-term, the Japan Business Confidence is projected to trend around 5.00 points in 2021 and -6.00 points in 2022, according to our econometric models.