FX.co ★ Japan's Service Sector Slows in October as PMI Dips to 52.4

The au Jibun Bank Services PMI for Japan recorded a dip in October 2025, reflecting a slowing momentum in the country's service sector. The PMI, a critical indicator of the health of the services industry, fell to 52.4, down from the 53.3 witnessed in September 2025. The figures, updated on October 24, 2025, indicate a pared-back expansion compared to the previous month.

Despite the slowdown, the services PMI continues to signal growth, as any reading above 50 suggests expansion within the industry. The decrease, however, points to growing challenges that could be affecting domestic demand and overall business activity in the service sector.

Economists may point to various factors influencing the dip, including changes in consumer spending patterns, supply chain issues, or broader economic conditions. Stakeholders will be keenly observing Japan’s economic policy responses and their impact on the services sector over the coming months.