Japan: Positive surprise in PMIs – Danske Bank

Danske Bank analysts note that Japanese PMIs this morning generally surprised positively (although modestly) across both services and manufacturing.

Key Quotes

“Manufacturing PMI came out at 49.6 (49.3 expected) and services at 52.3 (51.9 expected). Markets initially reacted positively, however the flash estimate largely paints a picture of a lacklustre start to the third quarter as goods exports lead the fall in new orders.”

“New export orders have been falling each month since December and the trade war thus continues to weigh heavily on Japanese exports.”