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Japanese Firms Expect Positive Economic Growth for US and China


九月, 19 2017
watermark Economic news

Large number of companies in Japan have optimistic views for the American economy based on Reuters poll. This restored market confidence as they worry about the possible slow down of US growth.

The majority also had issued a positive forecast for the Chinese economy amid the negative outlook of few companies that prospects seem greater than for the US economy.

The poll made by Reuters Corporate showed that 64 percent of Japanese firms believe that the United States will continue to grow within its current momentum, while there are 19 percent who presumed that the country will further expand. The other 17 percent anticipates for a slackening growth. However, many respondents, including the manager, questioned the competence of the Trump administration in managing the main policy issues. The survey is done on August 30 until September 12, this concurred with the upward revision to U.S. GDP for Q2 which appeared to be higher than the strong consumer expenditure and business investment. Moreover, the poll started upon the arrival of Hurricane Harvey on Texas and the survey was finished when Hurricane Irma get into the shores of Florida. Even before the poll was published, experts downgraded forecasts for GDP but economic indicators showed stronger stance which led to further increase.

According to the survey conducted by the Reuters Corporate, there are 59 percent firms in Japan, with direct or indirect transactions with the US, stated that their business plans appeared to be running smoothly. But 33 percent claimed that there is quite delays and sluggishness while the remaining 8 percent are yet to review their plans.


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