Japan Leading Index Highest Since 2014
2026-09-07 05:08
By
Chusnul Chotimah
1 min. read
Japan’s leading economic index, which gauges the outlook for economic activity in the coming months using indicators such as job offers and consumer sentiment, increased to 117.9 in July 2026 from a downwardly revised 116.2 in June, but below the market forecasts of 118.1, preliminary estimates showed.
It was the highest level since January 2014, supported by the government’s record fiscal budget, which included comprehensive measures to ease cost-of-living pressures and emergency energy support to cushion the impact of the Middle East conflict, while inflation remained close to the BOJ’s 2% target.
Meanwhile, the unemployment rate declined to 2.4% in July, its lowest level since July 2025, pointing to resilient labor market conditions, although employment was at a four-month low.
Consumer confidence also improved to a six-month high, amid households’ stronger views on overall livelihood.