Japan's manufacturing sector fell for the ninth consecutive month in April, with the au Jibun Bank flash PMI climbing to 48.5 from 48.4 in March.

According to Reuters, new orders decreased substantially, and company confidence dropped to its lowest level since June 2020 due to US tariff concerns.

Meanwhile, the services sector recovered modestly, with the PMI rising to 52.2 from 50.0, boosted by better demand and the largest increase in sales in three months.

Reuters reported that the composite PMI, which combines both sectors, bounced back to growth at 51.1, up from 48.9 in March.

As input costs increased at the quickest rate in two years, businesses raised their selling prices. Japan's economy is nonetheless hampered by persistent inflation and unclear trade policy.