Confidence Rises 4th Straight Month at SMEs

The diffusion index of business sentiment at 1,000 small and midsize companies rose 3.3 points to 34.1 in May, according to data released last Wednesday by Shoko Chukin Bank, a government affiliated bank that provides loans to smaller firms. Even though the index has continued to improve from January's record low of 24.8, the May result still fell below the threshold of 50 for the 26th consecutive month. A number above 50 indicates that business conditions are positive, while a reading below 50 suggests they are negative.