Japan's factory output surges to near 12-year high in July, PMI shows

TOKYO, Aug 3 : Japan's manufacturing output expanded in July at its fastest pace in more than 12 years, with across-the-board improvements in sub-indexes, including a 4.5-year high surge in new orders buoyed by AI-related demand, a survey showed on Monday.• The S&P Global Japan Manufacturing Purchasing Managers' Index (PMI) came in at 54.5 in July, down slightly from 54.8 in June and the flash reading of 54.7, marking the seventh consecutive month of expansion. A reading above 50.0 indicates expansion, while below that level signals contraction.• Manufacturing output grew at the quickest rate since February 2014. New orders rose at the fastest pace since January 2022, with respondents citing strong demand for chips and AI-related manufacturing areas, according to the survey.• Specifically,