Japan's large manufacturers lift Tankan sentiment index to 24

Japan's large manufacturers lifted their business-conditions index to 24 in September from 22 in June, the Bank of Japan's quarterly Tankan showed Thursday.

The reading is the share calling conditions favorable minus the share calling them unfavorable. Large nonmanufacturers moved the other way, slipping to 35 from 37, and both groups expect lower readings next quarter.

Investment plans remained firm. All surveyed companies expect fixed investment, including land purchases, to rise 7.6 percent in fiscal 2026. Across industries and company sizes, the employment index fell to minus 38 from minus 37, meaning labor shortages became slightly broader. Firms based their forecasts on an average 154.23 yen per dollar.