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MNI BRIEF: Japan Capex Dip To Lead To Downward Q3 GDP Revision

TOKYO (MNI)

Combined capital investment by non-financial Japanese companies, excluding software, fell 1.1% q/q in the third quarter of 2021, reversing a Q2 gain, a quarterly survey released by the Ministry of Finance on Wednesday showed, heralding a possible downward revision in Q3 GDP.

The MOF survey, based on the demand side, is the key to calculating Q3 GDP revisions scheduled to be released on Dec. 13. The preliminary capex estimate was -3.8%.

Capital investment plans in the current fiscal year remained solid on the back of firm corporate profits, according to the latest Bank of Japan’s Tankan business sentiment survey.

MNI Tokyo Bureau | +81 90-2175-0040 | hiroshi.inoue@marketnews.com
MNI Tokyo Bureau | +81 90-2175-0040 | hiroshi.inoue@marketnews.com

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