Labour Market Tightened In Apr, But U/E Rate Remains Above Recent Lows

Japan's jobless rate ticked down to 2.6% in Apr, below the consensus of 2.7% and 2.8% prior. So a better than expected result, but the unemployment rate remains above the recent trough of 2.4% recorded in Jan of this year. The job-to-applicant ratio was steady at 1.32, which was in line with expectations.

• Looking at the detail, the number of employed increased by 130k m/m, while the number of unemployed fell by 150k m/m. The participation rate also firmed to 62.9% from 62.6%.
• These are signs of renewed tightness in the labor market, although the job to applicant ratio was steady at 1.32 and we remain sub late 2022 highs of 1.36.
• The new jobs to applicant ratio also edged down to 2.23 from 2.29 in March.