Japan Coincident Index Revised Lower

2026-07-27 05:03 By Farida Husna 1 min. read

Japan's coincident economic index, a key gauge of current economic conditions based on indicators such as industrial production, employment, and retail sales, was revised down to 117.9 in May 2026 from a preliminary reading of 118.5.

The latest figure was also slightly below April's 118.1, signaling a modest loss of economic momentum.

The slowdown reflected the impact of heightened Middle East tensions, which weighed on business activity and trade.

Exports and imports were broadly flat during the month, while industrial production stagnated and housing construction weakened.

Meanwhile, consumer confidence improved from its lowest in a year amid resilient private consumption, supported by Japan's record-high fiscal 2026 budget.

On the monetary front, the Bank of Japan left its short-term policy rate unchanged at 0.75% in April while raising its inflation outlook, citing higher energy costs and persistent underlying price pressures.



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