BOJ to consider offering bleaker view on output as trade war bites: sources

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BOJ to consider offering bleaker view on output as trade war bites: sources
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The Bank of Japan will consider offering a bleaker assessment on factory output ...

TOKYO - The Bank of Japan will consider offering a bleaker assessment on factory output than in October at its rate review this month, sources said, underscoring its concern over the broadening fallout from the U.S.-China trade war and slowing global demand.

Factory output contracted in October in the biggest slump in nearly two years and manufacturers expect output to drop again in November, government data showed. In its current assessment made in October, the BOJ says factory output is moving sideways. The nine-member board may offer a slightly bleaker view, such as that output is weakening, when it meets for a rate review on Dec. 18-19, the sources said.

But a recent string of weak data is likely to keep the central bank under pressure to deploy additional monetary support to prevent another recession.

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