Japan Services Growth Hits Five-Month High on Domestic Demand

Japan’s services businesses grew faster in August.

Their PMI score rose to 52.5, which is above 50 and signals growth.

People and companies in Japan placed more orders for services.

New business has now increased for 26 months in a row.

However, demand from customers outside Japan became weaker.

Services companies also hired more workers, but hiring slowed.

Businesses still faced high costs and raised their prices.

These stronger growth and price pressures could support another Bank of Japan interest-rate increase.