Recapping Japan flash PMI – points to modest improvement, but business caution lingers

The data is here from earlier, muuch improved from May:

• Japan Jibun bank PMI manufacturing June 2025 preliminary 50.4 (prior 49.4)

Recap of the report I didn’t get a chance to look at earlier. In brief:

• Japan’s private sector showed further signs of recovery in June, with the flash composite PMI rising to 51.4 from 50.2 in May, driven by stronger services activity and a renewed uptick in manufacturing output.
• However, demand conditions remained fragile. New business growth was modest, and weaker overseas demand—linked in part to U.S. tariffs and global trade uncertainty—continued to weigh on exports.
• Firms remained cautious about the outlook, with sentiment staying close to post-pandemic lows. Still, there were some encouraging signs: input cost inflation eased to a 15-month low, and employment grew at the fastest pace in nearly a year.

This article was written by Eamonn Sheridan at www.forexlive.com.