Japan's leading economic indicators index, and also the nation's coincident index, both gained in January, possibly indicating a more-vigorous national economic expansion in 2025.
Japan's leading economic index, that gauges the economic outlook based on factors such as job offers and consumer sentiment, edged up to 108.0 in January from 107.9 in December, reported the Cabinet Office.
Helping boost the leading index in January was household spending, up for the first time five months, and logging the fastest growth since August 2022.
In contrast, consumer sentiment weakened to its lowest level since March 2023, tending to retard the leading index.
Japan's index of coincident economic indicators, which is based on inputs such as factory output, employment, and retail sales, struck 116.2 in January, up from 116.1 in December.
The coincident index was lifted by improving employment and income conditions, along with consumer spending. Corporate profits were strong, and bankruptcies remained stable.
However, the Cabinet Office's assessment of the coincident index was that it showed the nation's economic in a "halting to fall" state.
Japan officials have forecast modest economic growth for Japan in 2025.
In late January, the Bank of Japan forecast the nation's gross domestic product (GDP) would expand by 1.1% in fiscal 2025 started April 1, after a 0.5% expansion in fiscal 2024.
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