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By Reuters<\/strong><\/p>\n\n\n Japan\u2019s factory activity extended declines in September, largely due to a sharper fall in output, as the world\u2019s third-largest economy struggles to stage a robust recovery from the coronavirus pandemic.<\/p>\n\n\n The au Jibun Bank Flash Japan Manufacturing Purchasing Managers\u2019 Index (PMI) was largely unchanged at 47.3 in September, compared with a final 47.2 in the previous month.<\/p>\n\n\n Output contracted at a faster pace for the first time in four months, weighing on the headline index, which remained below the 50.0 threshold that separates contraction from expansion for a 17th month.<\/p>\n\n\n \u201cNew order inflows continued to fall in September, reflecting subdued demand,\u2019\u2019 said Bernard Aw, principal economist at IHS Markit, which compiles the survey.<\/p>\n\n\n \u201cThat said, the picture of the economy remained much improved when compared to the height of the pandemic during the second quarter.\u2019\u2019<\/p>\n\n\n While still remaining in contraction, other indicators in the manufacturing survey such as new orders and suppliers\u2019 delivery times saw their slowest pace of declines since January.<\/p>\n\n\n Other positive signs in the survey included manufacturers\u2019 views on future output, which rose to a more than two year high.<\/p>\n\n\n Japan\u2019s new Prime Minister, Yoshihide Suga, faces the daunting task of restoring the economy after it posted its worst post-war contraction in the second quarter.<\/p>\n\n\n Suga is expected to first target quick policy wins that will later give him the political capital to pursue tougher reforms.<\/p>\n\n\n The PMI survey also showed a slight improvement in service-sector activity in September, which contracted at its slowest pace in seven months.<\/p>\n\n\n The au Jibun Bank Flash Services PMI index rose to a seasonally adjusted 45.6 from the previous month\u2019s final of 45.0. The au Jibun Bank Flash Japan Composite PMI, which includes both manufacturing and services, edged up to 45.5 from a final 45.2 in August. (<\/p>\n","protected":false},"excerpt":{"rendered":" By Reuters Japan\u2019s factory activity extended declines in September, largely due to a sharper fall in output, as the world\u2019s third-largest economy struggles to stage a robust recovery from the coronavirus pandemic. The au Jibun Bank Flash Japan Manufacturing Purchasing Managers\u2019 Index (PMI) was largely unchanged at 47.3 in September, compared with a final 47.2 […]<\/p>\n","protected":false},"author":1,"featured_media":7240,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[126],"tags":[262],"class_list":["post-25226","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trade-and-industry","tag-japan","has-post-title","has-post-date","has-post-category","has-post-tag","has-post-comment","has-post-author",""],"yoast_head":"\n