Japan Tankan Shows Large Non-Manufacturers’ Sentiment at Highest Since 1991

Japan’s Tankan survey showed the sentiment index for large non-manufacturing firms reached its highest level since 1991, alongside strengthening inflation expectations. According to Jin10, the report indicated that inflation expectations continued to firm even as companies faced ongoing cost pressures. The survey also suggested corporate willingness to invest remained steady. Market participants have increasingly anticipated that the Bank of Japan will accelerate the pace of policy normalization.