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Summer bonuses stimulate personal consumption, recovery continues

July 6, 2017

 

- Expansion of capital investment and expectations for Tokyo Olympic special demand -

 

(Companies researched: 23,927 ; Valid responses: 10,045; Response rate: 42.0%; Survey start date: May 2002)

 

 

< Trend for June 2017: Recovery continues >

 

The economic diffusion index (DI) for June rose 0.3 points over last month to 46.8, marking the 5th straight month of relatively flat growth. Domestic business continues to recover due to stimulated personal consumption thanks to summer bonuses aided by robust automotive-related production and expanded IT demand.

 

 

< Forecast: Recovery trend to continue >

 

Although future domestic business will be affected by uncertainty in the situation overseas, the recovery trend is expected to continue thanks to expanded capital investment spurred by favorable export and production and Tokyo Olympic special demand.

 

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