Economic Buzz: Japan factory sentiment slips into negative territory in Q2

Japan?s Business Survey Index (BSI) for large manufacturers fell unexpectedly to -1.8% in Q2 2026 from 3.8% in Q1, marking its first negative reading in a year. The decline highlights growing concerns over economic growth and policy uncertainty. However, sentiment is expected to rebound to 4.4% in Q3 and 5.8% in Q4.

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