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ECONOMICS COMMENTARY Apr 30, 2014

Japan Manufacturing PMI slides into contraction, but some signs point to short-lived impact from sales tax rise

Manufacturing activity deteriorated in April, as production and new orders dropped sharply in the wake of the sales tax rise. The headline Markit/JMMA Manufacturing PMI registered one of the largest monthly falls on record, down from 53.9 in March to 49.4 in April. The latest reading signalled the first deterioration in manufacturing business conditions since February last year.

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