Govt cuts assessment on the index for the first time since August 2019
TOKYO, November 8 - Japan cut its view on economic conditions for the first time in more than two years after the coincident indicator index extended its decline in September, falling to the lowest in a year.
The Cabinet Office said that the index showing current economic conditions, compiled from data showing factory output, employment and retail sales, struck a preliminary 3.8 points from the previous month to 87.5, making it the third consecutive month of decline. The fall was the biggest since May 2020.
The index was lowered on Monday to weakening from improving its first downgrade since August of last year.
A government official said that the index's fall due to stagnant shipments of cars and its components, as well as slowing exports and factory output, down by the auto industry, contributed to the index's fall.
The index of leading economic indicators, used to predict the economy a few months ahead, decreased to 99.7 in September, according to the government.