Japan's key August economic indicators likely remained lukewarm

IP forecasted to have risen 1.3% MoM.

Japan will release key August economic indicators on 30 September, but Standard Chartered sees modest growth.

Among the indicators to be release include industrial production (IP), inflation, jobs data and household spending.

Standard Chartered expects IP to have risen 1.3% m/m, after declining 0.4% in July.

"Export volumes and inventories point to improved production, although the pace was slow," it said.

The research firm also believes that the job market likely remained stable, with a historically low jobless rate of 3%.

Core inflation, meanwhile, may have stayed negative, as rising imported energy prices were offset by a strengthening Japanese yen and declining domestic prices, it added.

The Bank of Japan (BoJ) will release the opinion summary of its September monetary policy meeting on the same day.

The BoJ adjusted its easing policy framework at the meeting to address financial institutions’ concerns about shrinking profits amid negative interest rates, and market
concerns about its policy sustainability and the financial market’s functioning.