FX.co ★ Japan Composite PMI Revised Higher

The S&P Global Japan Composite Purchasing Managers' Index (PMI) recorded a figure of 51.3 in September 2025, surpassing the preliminary estimate of 51.1 but decreasing from 52.1 in August. This represents the lowest reading since May. Despite this deceleration, it marked the sixth consecutive month of growth within the private sector. Detailed analysis indicated that a more pronounced reduction in manufacturing output partially counterbalanced robust performance in the services industry. New business experienced only a slight uptick, while international demand continued to decline steadily for the sixth month in a row. In terms of employment, a renewed rise in service sector hiring boosted overall job creation to its highest level in three months, although backlogs experienced only a minor increase. Furthermore, pricing trends revealed a moderated but still notable rise in input costs alongside a strong increase in output charges.