Overview
- The Sakura report kept assessments for all nine regions, using terms such as "recovering moderately" or "picking up."
- The BOJ reported solid capital spending, with companies maintaining an "aggressive investment stance" partly linked to AI demand.
- The bank said many firms recognize the need to continue raising pay, which it views as central to decisions on further rate hikes.
- Uncertainty from U.S. trade policy has eased after a July tariff deal took effect in September, supporting corporate planning.
- Reports to the BOJ indicate limited impact so far from China’s travel advisory, though hotel operators are concerned about the Chinese New Year period.