Japan and U.S. Manufacturing Expand Amid Stockpiling Driven by Middle East Conflict
In June, both Japan and U.S. manufacturing sectors experienced notable growth driven by businesses increasing orders to stockpile amid concerns over supply disruptions and rising costs linked to the ongoing Middle East conflict involving Iran. Japan's manufacturing PMI rose to 54.9, marking its strongest expansion in over four years, while the U.S. PMI reached 55.7, the highest since May 2022. Despite increased production activity, U.S. factory employment fell to a six-year low due to rising operational costs, highlighting challenges amid geopolitical tensions and inflationary pressures.