September 10, 2018

Japan Economy Watchers Survey

Summer heat has hurt the economy.

Published monthly by the Cabinet Office. Updated until August 2018 (published on September 10th, 2018)

Recent data trend

A hot summer is supposed to be good for the economy, encouraging household to purchase air-conditioners, buy more summer clothes and perhaps drink more beer. However, there seems to be a point where the heat starts to hurt the economy. The Economy Watchers' survey, a corporate sentiment measure, indicated a weak economic activity in July. The current condition index deteriorated to from 48.1 in June to 46.6 in July. The deterioration took place mostly in the household sub-component (46.9 in J...

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Brief Overview of "Economy Watchers Survey"

"Economy watchers survey" is a survey of people who are working in industries that are sensitive to economic trends, such as household activity, corporate activity, and employment. This index is a diffusion index (DI). The index over 50 indicates that the economy is expanding, while the index below 50 indicates that the economy is contracting. 

DI for current conditions indicate the direction of change compared to 3 months ago, and DI for future condition index indicates the expected direction of change within the next 2 or 3 months.

For more information, visit the official government page

Source: Cabinet Office, JMA

The Next Release Date: October 8th, 2018

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