FX.co ★ Japan Eco Watchers Index Falls To 21-Month Low; Outlook Weakens

A measure of public sentiment regarding the Japanese economy declined in May to its lowest point in over a year and a half, according to survey data released by the Cabinet Office on Monday.

The current conditions index of the Economy Watchers' Survey, which assesses the present state of the economy, fell to 45.7 in May from 47.4 in April. Any reading below 50 signifies pessimism.

This marked the lowest level since August 2022, when the index stood at 45.5.

Both household and cooperative activities contributed to the decrease in the overall index.

Moreover, the outlook index, which predicts future economic activity, dropped to a 22-month low of 46.3 in May from 48.5 in April.