Japan Machinery Orders with Unexpected Fall of 19.5%

Japan’s core machinery orders unexpectedly fell 19.5 percent in May from the previous month, government data showed on Thursday, casting doubt over the outlook for a pickup in capital spending.

The month-on-month decrease in core orders, a highly volatile data series regarded as an indicator of capital spending in the coming six to nine months, compared with economists’ median estimate of a 0.7 percent gain in a Reuters poll of economists.

That followed a 9.1 percent fall in April, data compiled by the Cabinet Office showed.  Compared with a year earlier, core orders, which exclude ships and electric power utilities, declined 14.3 percent in May, versus a 9.5 percent gain expected.

CNBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.