FX.co ★ Japan Leading Economic Index Highest in 8 Months

Japan's leading economic index, which forecasts future economic activity by analyzing indicators such as job availability and consumer sentiment, increased to 108.0 in September 2025, up from a five-month low of 107.0 in August, according to preliminary data. This latest figure marked the highest since January, slightly exceeding market expectations of 107.9. The rise was bolstered by stronger household spending, which saw an uptick of 1.8%, marking a five-month streak of increases, albeit at a slower rate than in the prior month. This growth suggests a continued recovery in consumer activity. Additionally, consumer confidence reached a ten-month peak in October. Conversely, the unemployment rate held steady at 2.6% in September—the highest since July 2024—while employment reached a four-month peak.