According to the Reuters' monthly poll that tracks the Bank of Japan’s (BOJ key quarterly tankan manufacturing index, manufacturing index is expected to hit the highest levels since April 2014.
Key Points:
The Reuters poll was of 531 large- and mid-sized firms
Conducted between March 7-21
254 responded
Japan manufacturers index +25 in March vs +20 in February, up nine points from three months ago
Manufacturers index hits highest reading since April 2014
Non-manufacturers index +26 in March, unchanged from February, up seven points from three months ago
Manufacturers June index seen at +23, non-manufacturers +24
Confidence among Japanese manufacturers rose for a seventh straight month
Led by materials firms such as oil refinery/ceramics, textiles/paper and steel/nonferrous metals
"Exchange rates are stable at around 115 yen, providing a good environment for our clients, many of whom are exporters," a manager at a nonferrous metals producer
Manufacturers cited stability in exchange rates, brisk demand for smartphones, and a pick-up in demand from China as factors underpinning their sentiment
Some companies were concerned about uncertainty over the outlook for global economy
Others complained about sluggishness in private consumption that constitutes about 60 percent of Japan's economy
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