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FX.co ★ Japan's Tankan Small Non-Manufacturers Diffusion Index Holds Steady in Q2

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typeContent_19130:::2025-06-30T23:50:00

Japan's Tankan Small Non-Manufacturers Diffusion Index Holds Steady in Q2

In the latest economic report out of Japan, the Tankan Small Non-Manufacturers Diffusion Index remained unchanged in the second quarter of 2025, holding steady at a level of 9. This consistency follows a similar outcome from the first quarter, suggesting a persistent sentiment among small non-manufacturing firms in the country. The data, updated on June 30th, reveal no change in the outlook for small businesses engaged in services and other non-manufacturing sectors.

This stabilization indicates that while small non-manufacturers are not currently experiencing growth, neither are they facing a decline. Such flatlining could suggest a period of adjustment or consolidation amid broader economic conditions or signify the impact of previous economic policies that have maintained status quo.

Analysts may interpret this data as reflecting underlying resilience or potential cautiousness among smaller firms as they navigate ongoing challenges within the economic landscape. As Japan continues to manage its post-pandemic recovery alongside global economic shifts, how this index moves in coming quarters will be closely watched by stakeholders seeking insights into the health and future prospects of Japan's small business sector.

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