Japan Services PMI Revised to 50.9, Growth Continues

The au Jibun Bank Japan Services PMI for December 2024 was revised down to 50.9 from a preliminary reading of 51.4, following November's figure of 50.5.

Japan Services PMI Revised to 50.9, Growth Continues

This marked the second consecutive month of growth in the services sector, the strongest pace since September. New orders continued to rise for the sixth month, reaching their highest growth rate since August. Employment also increased for the 15th consecutive month, although the rise was modest. Outstanding business grew for the second month, with a marginal increase that exceeded the long-term average. Export sales, however, fell for the third month.

Stable costs support price rise, sentiment softens

Input cost inflation remained stable due to higher raw material and wage costs, with businesses passing some of these costs onto clients, resulting in a steady rise in prices charged. Despite a slight dip in optimism, business sentiment remained positive, although it was softer than the average for 2024.