Japan Service-Sector Gauge Rises 1.1% for Second Month

Japan's tertiary activity index rose for a second straight month in May, the Ministry of Economy, Trade, and Industry reported Wednesday.

The seasonally adjusted index, which measures activity across services including retail, transport, and utilities, climbed 1.1% from April. That followed a revised 0.5% gain in the prior month.

The reading points to sustained demand in Japan's service sector, a key driver of the broader economy as manufacturing faces headwinds from weak global trade. The data comes ahead of the Bank of Japan's July policy meeting, where officials will weigh the strength of domestic consumption against external risks.

METI did not provide a breakdown by sub-sector in the preliminary release.