Japan business confidence index unchanged

Published: July 2, 2007 at 6:22 AM
Order reprints
TOKYO, July 2 (UPI) -- The index of business confidence among major Japanese manufacturers was unchanged in the quarter ended June, pointing to a likely interest rate hike.

The closely-watched Tankan survey by the Bank of Japan, released Monday, said the business sentiment index stood at 23, unchanged from the previous quarter, Kyodo news service reported. In the quarter ended December the index was 25.

Many economists have said they expect the central bank to raise the benchmark short-term interest rate to 0.75 percent from the current 0.5 percent in a credit-tightening move during its Aug. 22 policy meeting, and that the latest numbers may only reinforce that thinking, the report said.

The economists also expect the index for the next quarter to drop to 22.

The survey said large companies in all industries plan to spend 7.7 percent more on plant and equipment in fiscal 2007 through next March, than in fiscal 2006.


© 2007 United Press International, Inc. All Rights Reserved.



Meds cause dry mouth, researchers find (16 min)
Puppy transporter charged with cruelty (33 min)
Study: Play ball after shoulder surgery (37 min)
MLB: LA Dodgers 12, Milwaukee 8 (10 inn.) (39 min)
GM considers new car listings on eBay (45 min)
Broken main floods Philly neighborhood (48 min)
MLB: Houston 6, Washington 5 (49 min)
fark
Only the Royals would consider Yuniesky Betancourt a 'major trade'. Second paragraph- 'Betancourt,...
Probably the most spectacularly disturbing suicide you'll read about today
Photoshop these creepy earrings
Patronizing Tijuana hookers while on drugs may be unhealthy, according to Dr. N.S. Sherlock, of...
Defense lawyers request words like "polygamy,""cult" and "compound" not be used in their client's...
TSG Mugshot roundup: Twin billing