S&P Global released its Flash Japan Purchasing Managers' Index (PMI) for November 2025, revealing that Japanese private sector output increased at the fastest pace in three months. The composite output index registered 52.0, up from 50.5 in October, indicating a continued modest rate of growth for overall business activity. The expansion was primarily supported by the service sector, which saw a solid rate of growth that was unchanged from the prior month. Meanwhile, the manufacturing sector experienced a softer and only marginal reduction in production, which contributed to the rise in the headline index. The data also pointed to increased price pressures across Japan. Concurrently, overall business sentiment improved to a ten-month high, with firms expressing greater optimism about the year-ahead outlook, partly due to hopes for firmer demand conditions and new product launches.