Japanese Firms Increase Investment Amid Signs of Economic Recovery

Second-quarter data shows a rise in capital expenditures, reflecting growing domestic demand and business confidence.

Capital expenditures on goods excluding software rose 1.9% from the previous quarter.
Spending on equipment including software grew 7.4% year-on-year, marking the 13th consecutive quarter of growth.
Corporate sales increased 3.5% and recurring profits rose 13.2% in the second quarter.
The Bank of Japan's recent interest rate hike is supported by these positive economic indicators.
Business investment is crucial for Japan's economy as it faces labor shortages and external economic uncertainties.