A key gauge of the current state of the economy stayed above the boom-or-bust threshold of 50 percent in October for the third straight month, buoyed by strong large-lot electricity consumption and a healthy job offers-to-seekers ratio, the government said Wednesday.
The index of coincident economic indicators stood at 88.9 percent, the Cabinet Office said in a preliminary report. Based on the three-month positive streak, the government maintained its assessment of the economic situation for a fourth month, saying the index "shows improvements in Japan's economy."
A reading above 50 percent is considered a sign of economic expansion and a figure below the line is seen as a sign of contraction. The coincident index stood at 54.5 percent in September and 81.8 percent in August.
Looking ahead, a Cabinet Office official said some upbeat data have already become apparent for the leading and coincident economic indicators in November.
In October, the index of leading indicators, which predicts economic developments about six months down the road, came to 80.0 percent, following a 41.7 percent reading in September.