Japanese Business Confidence Rises to Six Year High

Japanese business confidence has soared to its highest level in six years, according to the Bank of Japan’s latest Tankan survey.

The big manufacturers’ index rose to plus-16 from plus-12 in September’s survey, exceeding market forecasts.

Large companies also plan to increase their capital spending by 4.6% next year, the survey showed.

The results indicate the government’s stimulus policies, aimed at spurring growth, may be starting to take effect.

Prime Minister Shinzo Abe has taken aggressive steps in recent months to end nearly two decades of deflation – or falling consumer prices – in the economy.

Analysts said the survey’s results indicate his policies, also known as Abenomics, were starting to have an impact.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza