Tankan Survey (BoJ Business Sentiment)

The Tankan is a quarterly business survey published by the Bank of Japan (BoJ) four times a year (April, July, October, December) and answered by thousands of Japanese firms. Its result is a diffusion index — the share of firms judging conditions favourable minus those judging them unfavourable — with the large-manufacturers reading most widely quoted. Because it also captures firms' capital-spending plans and inflation expectations, the BoJ treats it as an important input for monetary policy, and a strong reading tends to support the yen.