Japan Industrial Production Spikes 9.8% On Year In September

(RTTNews) - The value of industrial output in Japan was up 9.8 percent on year in September, the Ministry of Economy, Trade and Industry said on Monday.

That beat expectations for an increase of 7.0 percent and was up from 5.8 percent in the previous month.

On a seasonally adjusted monthly basis, industrial production slipped 1.6 percent - missing forecasts for a decline of 1.0 percent after rising 3.4 percent in August.

Upon the release of the data, the METI upgraded its forecast for industrial production, saying that it shows signs of increase at a moderate pace.

Industries that mainly contributed to the monthly decrease included motor vehicles, chemicals and production machinery. These losses were offset by gains from other chemicals, electrical machinery and iron and steel. Industries that mainly contributed to the increased

Shipments were down 2.4 percent on month and up 9.5 percent on year, while inventories rose 3.0 percent on month and 6.2 percent on year and the inventory ratio advanced 5.1 percent on month and 5.5 percent on year.

According to the METI's forecast for industrial production, output is expected to sink 0.4 percent on month in October and then rise 0.8 percent in November.

Industries expected to decline in October include production machinery, chemicals and paper products.

Industries expected to increase in November include transport equipment, chemicals and electrical machinery.

Also on Monday, the METI said that the value of retail sales in Japan was up 4.5 percent on year in September, coming in at 12.591 trillion yen.

That beat forecasts for a gain of 4.1 percent, which would have been unchanged from the August reading.

On a seasonally adjusted monthly basis, retail sales climbed 1.1 percent, slowing from 1.1 percent in the previous month.

For the third quarter of 2022, retail sales gained 3.6 percent on year and 1.3 percent on quarter, coming in at 38.140 trillion yen.