BOJ Survey: Japanese Business Confidence Surges Amid Global Uncertainty

The Bank of Japan's quarterly central bank survey, known as the 'tankan', showed an improvement in Japanese business confidence in the three months to September. The headline index measuring big manufacturers' business sentiment rose to +24 from +22 in June, beating market forecasts for a reading of +25.

An index measuring big non-manufacturers' sentiment stood at +35 after a +37 reading in June, also slightly below market expectations of +36.

The survey suggested that the economy is weathering the impact of the Middle East conflict and bolsters the case for more rate hikes. The BOJ raised interest rates to a 31-year high last month, with its governor signaling the central bank has entered a new phase focused on preventing inflation from overshooting its target.