* Nov core orders +1.5% m/m vs forecast -6.2%
* Manufacturers' orders -2.4%, nonmanufacturers' +5.6%
* Core orders -11.3% yr/yr vs forecast -15.4%
* Coronavirus threatens private demand-led recovery
(Adds economist's comment in paragraphs 6-7)
By Tetsushi Kajimoto
TOKYO, Jan 14 (Reuters) - Japan's core machinery orders
unexpectedly rose for a second straight month in November, data
showed on Thursday, although a renewed coronavirus emergency in
Tokyo and 10 other areas may cool business appetite for capital
spending.
The surprise gain in core orders, a key indicator of capital
expenditure, could be a temporary relief to policymakers hoping
for corporate investment to spur a private demand-led recovery
in the world's third-largest economy.
The Cabinet Office data showed core orders, a highly
volatile data series regarded as an indicator of capital
spending in the coming six to nine months, grew 1.5% in November
from October, led by increased demand for chip-making equipment
and computers, possibly backed by people working from home.
It was a second straight month of gains and compared with
economists' median estimate of a 6.2% drop, following a 17.1%
jump in the previous month.
However, Japanese firms could grow cautious about boosting
capital expenditure due to dwindling corporate profits, while a
state of emergency implemented in Tokyo and 10 other prefectures
through Feb. 7 could exacerbate conerns.
"Core orders likely picked up in the fourth quarter due to
pent-up demand for capital spending thanks to government
stimulus and overseas economic recovery," said Takeshi Minami,
chief economist at Norinchukin Research Institute.
"That will be temporary. The coronavirus has been spreading
in Japan and elsewhere, forcing lockdowns in major economies,
which will affect Japanese exports and service-sector activity."
By sector, orders from manufacturers fell 2.4%
month-on-month, while those from non-manufacturers grew 5.6%
from the previous month, the Cabinet Office data showed.
The government raised its assessment on machinery orders,
saying they showed a pick-up move. Previously it said orders had
stopped falling.
Japan's economy rebounded sharply in the third quarter from
its deepest postwar slump, thanks to pick-ups in exports and
private consumption, which makes up more than half the economy.
But some analysts flagged the risk of a double-dip recession
ahead given the current third wave of coronavirus infections.
(Reporting by Tetsushi Kajimoto; editing by Richard Pullin)
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