FX.co ★ Japan Services PMI Revised Upward

The S&P Global Japan Services PMI climbed to 53.3 in September 2025, surpassing both the initial estimate of 53.0 and August's figure of 53.1. This marks the sixth consecutive month of growth in the service sector. The rise in new orders remained steady, driven by focused business development strategies and the acquisition of new clientele, despite a continued decline in foreign demand. Employment saw a modest increase, the first in three months, while pressure on capacity persisted, with outstanding business expanding further, albeit at a reduced rate compared to August's 26-month peak. On the cost front, input price inflation showed signs of slowing yet remained significantly high and above the long-term average, influenced by rising labor, raw material, and fuel expenses. Consequently, service providers continued to increase output prices at a robust rate. Business confidence strengthened, reaching its highest point since January, as companies anticipate expansion, the introduction of new products, and increased consumer spending.