Further bad economic news hits us this morning, the key data points to note from Japan I think are that its exports to Europe drop 22.9% and its exports to China drop 9.9%. Austerity measures in Europe are hitting everyone quite hard.
The Tankan index for large manufacturers fell in the July to September quarter to minus 3 from minus 1, the fourth negative reading, the Bank of Japan said today in Tokyo. The median estimate of 18 economists surveyed by Bloomberg News was for minus 4. A negative figure means pessimists outnumber optimists.
The Purchasing Managers’ Index was 49.8 in September after a 49.2 reading in August, the National Bureau of Statistics and China Federation of Logistics and Purchasing said today in Beijing. That compares with the median forecast of 50.1 in a Bloomberg News survey.