According to a recent Reuters corporate survey, nearly half of Japanese companies have expressed concern that the ongoing conflict between Israel and Palestinian militants Hamas may have a negative effect on their earnings. The survey showed that 48 percent of firms polled saw the conflict as a potential risk to their earnings, while 49 percent expected no particular impact and only 3 percent saw a positive effect.
The survey also revealed that 46 percent of firms that responded to a question about how much oil prices are likely to rise in the near future said they expected them to increase to $120 a barrel or higher. Additionally, two-thirds of respondents cited rises in raw material prices other than oil, and half of them said they feared more global inflation.
The poll also showed that 46 percent of companies expected the Bank of Japan to end negative interest rates by the June 2024 quarter or earlier. The survey was conducted for Reuters by Nikkei Research on Oct. 24-Nov. 2, with firms responding on condition of anonymity.