FX.co ★ Japan Consumer Morale Highest in 6 Months

Japan’s consumer confidence index rose to 35.5 in August 2026 from 34.9 in July, surpassing market expectations of 35 and marking its highest level since February. Sentiment improved in two of the index’s four main components, as households expressed a more optimistic view of overall livelihood (34.1 vs 33.1 in July) and a stronger willingness to purchase durable goods (27.5 vs 25.6). In contrast, perceptions of income growth (40.4 vs 40.9) and employment conditions (39.9 vs 40.1) weakened slightly.