Bloomberg
Published Jun 29, 2018 11:46
Updated Jun 29, 2018 12:34
Japan’s Jobless Rate Falls to Lowest in a Quarter Century
(Bloomberg) -- Japan’s tightest labor market in decades just got even tighter, driving companies to hire more workers in full-time, permanent positions. That’s positive news for the Bank of Japan as it struggles to generate 2 percent inflation. Consumer prices in Tokyo, a leading indicator for the nation, rose more than expected after two months of slower increases.
Key Takeaways
The employment data released on Friday point to stronger upward pressure on wages, which so far haven’t responded as expected to the super-tight labor market. As companies struggle to find workers they’re hiring more staff on permanent, full-time contracts, which generally means higher pay and benefits. A job-applicant ratio at a 44-year high also points in the right direction for wages and inflation.
Still, challenges to the economy abound. The export-dependent nation faces fallout from global trade tensions and the slowing of growth in China. Japan’s factory output fell slightly in May after rising for three consecutive months.
More from other economists
Details
(Recasts to focus on jobs data, adds details throughout, economist comments.)
Written By: Bloomberg
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.