FX.co ★ Japan Leading Index Confirmed at 19-Month Peak

Japan’s leading economic index, which gauges the outlook for the coming months using indicators such as job offers and consumer sentiment, rose to 111.0 in December 2025, exceeding both the preliminary estimate of 110.2 and November’s reading of 109.9. This was the highest level since May 2024, supported by a modest improvement in labor market conditions: the jobs-to-applicants ratio inched up to 1.19 after lingering near a three-year low in October and November. At the same time, consumer sentiment deteriorated in December, reversing a previous climb to a 19-month high, as households continued to face persistent cost pressures and borrowing costs that remained relatively elevated.