JP: Tertiary Index


Wed Oct 11 23:30:00 CDT 2017

Actual Previous
Month over Month -0.2% 0.1%
Year over Year 0.6% 1.0%

Highlights
Japan's Index of Tertiary Industry Activity fell 0.2 percent seasonally adjusted on the month in August after an increase of 0.1 percent in July. Declines in the component index for five of the eleven main industry groups within the services sector outweighed increases in the index for the other six groups. Industries providing services to consumers recorded a drop in their activity of 0.9 percent on the the month, while activity fell by 0.1 percent for those providing services to businesses.

The original index advanced 0.6 percent on the year in August, down from 1.0 percent in July

The fall in the Tertiary Index is broadly consistent with the Nikkei Services PMI survey, which indicated that conditions in the sector weakened in both August and again in September.

Definition
The Tertiary Index measures activity in the service sector and is a key indicator of domestic activity. The index incorporates data wholesale and retail trade, financial services, health care, real estate, leisure and utilities. The report excludes industrial manufacturing sectors that tend to be influenced by foreign demand.

Description
The tertiary index measures output by the service sector. Because this report excludes manufacturing the index is considered a key measure of domestic activity. The index incorporates data from firms involved with wholesale and retail trade, financial services, health care, real estate, leisure and utilities. The report excludes industrial manufacturing sectors that tend to be influenced by foreign demand.