Japan Industrial Production Forecast 1-month Ahead m/m

The Industrial Production Index m/m measures the monthly output of manufacturing industry in Japan. Although this sector of the economy contributes to a small part of national GDP, industrial production is sensitive to rates and consumer demand. Thus, a month ahead forecast of industrial production allows predicting future changes in the GDP.

Ministry of Economy, Trade and Industry conducts a regular survey of production, during which it publishes 1-2 month ahead production forecast. This forecast contains data for all production sectors of Japan, including industry, mining, and energy.

The purpose of the monthly production forecast is to prepare basis for the calculation of planned production volumes for the current and the next months. This indicator can reflect changing business conditions and provide an idea of where the economy will move in the near future.

Since production demonstrates the economy state, a positive forecast is considered a positive factor for the entire economy and for the Japanese yen quotes. Conversely, a negative forecast can mean a slowdown in the national economy development and have an adverse effect on the national currency.