Daiwa Securities Expects Japan Business Sentiment to Improve Further

Daiwa Securities economist Yutaro Suzuki said Japan’s business sentiment may become more optimistic than indicated by the Bank of Japan’s Tankan survey. According to Jin10, Suzuki said the Tankan suggested business sentiment would worsen over the next three months, but he argued the latest survey was unlikely to fully reflect the impact of peace talks between the United States and Iran. Citing a Bank of Japan official, the report said about 70% of respondents submitted their answers before the agreement was announced. Suzuki said that because developments in the Middle East had not been fully reflected in expectations, business sentiment across industries could improve in the September Tankan survey.