The Bank of Japan’s “tankan” survey showed the headline index for big manufacturers’ sentiment improving 12 points from three months ago to plus 4, slightly better than the plus 3 a Reuters poll was expecting.
This is the second straight quarter of improvement and the first positive reading since the September 2011.
A positive reading means the number of optimists outnumbered pessimists.
The index for non-manufacturers rose to plus 12, also better than expected, and is the highest reading since March 2008.
The outlook for the future sentiment is even more bullish. The survey expects the headline index to show a plus 10 reading for the September quarter.
Japan’s big firms also see full-year capital expenditure rising 5.5 percent, compared to a Reuters poll of 2.9 percent.
The survey is said to be a good reflection of the impact of what’s been dubbed as “Abenomics,” or the radical policies by Prime Minister Shinzo Abe to kick start the economy.
Source : CNBC | June 30, 2013