Japan's service sector growth slowed down in November, with the Business Activity Index at 50.3, compared to 53.2 in October, S&P reported on Monday. Meanwhile, the Composite Purchasing Managers' Index (PMI) fell from 51.8 in October to 48.9 in November, entering contraction territory.
"Inflationary pressures remained marked with rates of input cost and selling price inflation remaining well above their respective historical averages. Exchange rate weakness and inflation across a broad range of inputs were reportedly central to the sustained increase in cost burdens. However, there was tentative evidence of inflationary pressures easing in November, as indicated by the softest rate of input cost inflation in eight months, said S&P economist Laura Denman.
