Japan’s Index of Tertiary Industry Activity rose 0.6% MoM (vs 0.1% MoM expected) in the latest month to 104.4 (seasonally adjusted) and was up 1.5% YoY, supported by gains in business services and transport-related industries.

• The Business Services index rose 1.0% MoM and 1.0% YoY to 103.2, while Personal Services fell -0.3% MoM but rose 2.1% YoY.
• Transport and postal activities, led by a 6.4% MoM gain in road freight transport, contributed 0.53 percentage points to the overall index.
• Living and amusement-related services rose 1.7% MoM, with strong growth in services for hobbies and dining.
• Real estate services increased 0.7% MoM and 5.9% YoY, while information and communications rose 0.7% MoM and 3.3% YoY.
• Offsetting gains were declines in finance and insurance (-2.5% MoM), electricity supply (-1.3% MoM), and motor vehicle retail trade (-0.3% MoM).