MNI BRIEF: Japan Dec Sentiment Edges Up But Outlook Drops

Japan's sentiment index posted the fourth straight gain but the index linked to drinking and eating services worsened from the previous month, and the outlook index for two to three months ahead fell for the second straight month, the Economy Watchers released by the Cabinet Office on Wednesday showed.

The survey, conducted conducted from Dec. 25 to Dec. 31, rose a seasonally adjusted 0.1 point to 56.4 in December, the highest level since December 2005, when it stood at 57.5.

“The impact of coronavirus persists but the economy is recovering," the government said in an unchanged outlook.

“Looking ahead, the recovery will continue but there are concern over higher costs (caused by the rise in raw material prices and the yen’s fall) and over developments of omicron variants at home and overseas.”