The manufacturing sector in Japan moved up into expansion territory in June, the latest survey from Jibun Bank revealed on Tuesday with a manufacturing PMI score of 50.1.
That's up from 49.4 in May and it moves up above the boom-or-bust line of 50 that separates expansion from contraction.
Helping to push the headline index higher was a fresh rise in output during June. Though modest, it marked the first increase since last August, with some panel members raising production due to hopes of improvements in customer demand in the months ahead.
Other firms noted the rise was also to help reduce backlogs. Overall demand conditions remained subdued in June, with manufacturers recording a further decline in overall new orders. The rate of contraction quickened slightly since May but remained mild.