BOJ Survey Shows Japan Manufacturers’ Sentiment Rises as Costs Mount
The index rose to 17, above economist forecasts, as demand for AI, semiconductors and defense offset war-related cost pressures.
- Japan's factory activity expanded at a slower pace in March, with output, orders, and manufacturers' confidence cooling amid cost pressures from the Middle East conflict.
- Input prices rose at the fastest rate since August 2024 due to higher energy, raw material costs, a weak yen, and increased labor expenses.
- Large Japanese manufacturers indicated their highest level of business optimism in over four years despite uncertainties from the Iran war, with the index for business optimism increasing to 17 for Q1 2026.
19 Articles
19 Articles
Iran war shows dollar's grip starting to slip on Asia
For years, markets have treated geopolitical tension as a one-way trade: buy dollars, sell Asia. The logic has been simple and, until now, largely reliable. Conflict pushes oil higher, capital rushes into US assets and Asian currencies weaken under the combined weight of rising import costs and capital outflows. But March 2026 has started to […] The post Iran war shows dollar’s grip starting to slip on Asia appeared first on Asia Times.
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