Operating conditions across Japan's manufacturing sector improved in June, with the final au Jibun Bank Japan Manufacturing Purchasing Managers' Index (PMI), compiled by S&P Global, coming in at 54.8, according to data released on Wednesday.
The finalized reading, which acts as a principal indicator of overall factory conditions, missed the flash estimate of 54.9 and compared with the 54.5 recorded in the previous month. A reading above 50 indicates an improvement in sector performance, while a figure below signals a deterioration.
New order growth hit its highest level since January 2022 as manufacturers continued to build up their inventories amid the Middle East conflict.
Input cost inflation among manufacturers was unchanged from May's 44-month record, and was among the quickest on record since the survey began in 2001.