Crypto Sector News: Japanese manufacturing confidence is supported by solid semiconductor demand, with the July manufacturing business conditions judgment index staying at 13, maintaining a relatively optimistic outlook. However, non-manufacturing confidence has fallen due to the Middle East conflict, weak yen, and rising interest rates that push up costs. The short-term survey’s non-manufacturing business conditions judgment index dropped from 32 to 25. Manufacturing companies reported a rebound in the semiconductor market, with orders for chip-related applications and AI server-related products expanding rapidly, while electronic component orders generally rose. A manager at a precision machinery manufacturer said order volumes and order values are at unprecedented levels, and they are worried that capacity may not keep up. Looking ahead, manufacturers expect confidence to remain stable; the October business conditions judgment index is expected to slightly rise to 14, while the non-manufacturing index is expected to stay at 25, as companies are assessing the impact of geopolitical risks and supply chain challenges.

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MentalStopLoss
· 5h ago
This semiconductor wave is indeed tough. AI server orders have held up the manufacturing sector’s core base, but the non-manufacturing sector is being squeezed from both sides by yen depreciation and geopolitical conflicts, making the split in Japan’s economic structure fairly noticeable.
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IndexMover
· 5h ago
The short-term outlook index looks fine, but the October forecast only rises slightly to 14; businesses are clearly waiting and watching geopolitical risks, and this supply-chain hurdle will be hard to get through.
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