11.04.201800:38:00UTC+00Japan Machinery Orders Grew in February

Japan's core machinery orders grew in February for a second straight month due to increased orders from manufacturers, an upbeat indication that corporate investment is supporting economic expansion.

Core machinery orders, which excludes ships and utilities, increased 2.1 percent month on month in February, according to the Economic and Social Research Institute. That was lower than the 8.2 percent growth posted in January.

In year-on-year terms, core orders grew 2.4 percent, above forecasts that machine orders would hold steady.

Separate data out on Wednesday showed wholesale prices rose at a slower pace in February, painting a picture of an economy that is healthy enough to continue growing but not robust enough to generate the inflation the Bank of Japan needs to overcome the country's deflationary mindset.

The Bank of Japan's tankan sentiment survey last week showed that mid-sized manufacturers planned to boost capital expenditure in the new fiscal year started on April 1, also suggesting business investment is likely to remain healthy.