South Korea Industry Minister Heads to Washington Amid U.S. Tariff Hike Concerns 
Indonesia Stocks Face Fragile Sentiment After MSCI Warning and Market Rout 
U.S. Dollar Slides for Second Week as Tariff Threats and Iran Tensions Shake Markets 
Asia Stocks Pause as Tech Earnings, Fed Signals, and Dollar Weakness Drive Markets 
China Home Prices Rise in January as Government Signals Stronger Support for Property Market 
U.S. Eases Venezuela Oil Sanctions to Boost American Investment After Maduro Ouster 
Asian Currencies Hold Firm as Dollar Rebounds on Fed Chair Nomination Hopes 
India Budget 2026: Modi Government Eyes Reforms Amid Global Uncertainty and Fiscal Pressures 
Copper Prices Hit Record Highs as Metals Rally Gains Momentum on Geopolitical Tensions 
Asian Currencies Trade Flat as Dollar Retreats After Fed Decision 
China Factory Activity Slips in January as Weak Demand Weighs on Growth Outlook 
Why Trump’s new pick for Fed chair hit gold and silver markets – for good reasons 
U.S. Government Faces Brief Shutdown as Congress Delays Funding Deal 
Indonesian Stocks Plunge as MSCI Downgrade Risk Sparks Investor Exodus 
Gold and Silver Prices Plunge as Trump Taps Kevin Warsh for Fed Chair 
Oil Prices Surge Toward Biggest Monthly Gains in Years Amid Middle East Tensions 
South Korea Exports Surge in January on AI Chip Demand, Marking Fastest Growth in 4.5 Years 
Japan’s manufacturing sector showed fresh signs of stabilization in December, moving closer to expansion territory, according to the latest purchasing managers index (PMI) data released by S&P Global. While the sector remains in contraction, the improvement highlights easing pressures and growing optimism for more stable conditions in the months ahead, even as services continue to be the main engine of economic activity.
The S&P Global flash Japan Manufacturing PMI rose to 49.7 in early December, up from 48.7 in November. Although still below the 50.0 mark that separates expansion from contraction, the uptick reflects improving domestic and overseas demand, particularly for industrial goods and automobiles. Analysts at S&P Global noted that the December reading suggests manufacturing conditions may be bottoming out after a challenging year marked by multiple headwinds.
Japan’s manufacturing sector was heavily disrupted in 2024 by a series of automobile-related scandals, which interrupted production and weakened output. At the same time, higher U.S. trade tariffs continued to weigh on exports and dampen foreign demand. Adding to these challenges, a prolonged diplomatic dispute with China is expected to further limit Chinese demand for Japanese manufactured goods, creating ongoing uncertainty for exporters.
In contrast, Japan’s services sector remained firmly in expansion territory, underscoring its role as a key driver of overall business activity. The flash Japan Services PMI came in at 52.5 in December, down slightly from 53.2 in November. While growth moderated, the reading still indicates solid expansion, supported by steady domestic consumption and resilient demand across service-related industries. The strength in services has helped offset persistent weakness in manufacturing and provided broader support to the Japanese economy.
Reflecting these mixed trends, the S&P flash Japan Composite PMI, which combines manufacturing and services activity, edged down to 51.5 in December from 52.0 in the previous month. Despite the slight decline, the composite index remains above the expansion threshold, suggesting Japan’s private sector continues to grow, led primarily by the services sector while manufacturing shows tentative signs of recovery.
