MNI DATA IMPACT: Japan  Sentiment Posts 1st Drop In 7 Months

Japan's sentiment index fell for the first time in seven months in November, hit by weaker hospitality and services, a key government survey released Tuesday showed.

The latest Economy Watchers sentiment index for the current economic climate fell a seasonally-adjusted 8.9 points to 45.6 in November.

The outlook index for two to three months ahead also fell, by 12.6 points to 36.5. The Survey was conducted by the Cabinet Office between Nov. 25 and Nov. 30 after the number of infections started to surge.

The survey indicates whether respondents with jobs most sensitive to economic conditions, such as taxi and truck drivers, department-store sales staff and restaurant and shop owners, think economic conditions have improved or worsened over the last three months.

Restaurants and retailers remain the hardest-hit businesses according to the poll, which targeted roughly 2,000 people, including store managers and taxi drivers.

The Cabinet Office lowered its overall economic assessment based on the Economy Watchers Survey, noting the recovery is weakening amid the severity caused by the infections and that concern over virus-related developments is increasing.