Japan's business sentiment improved in the third quarter, a central bank survey showed, suggesting conditions for a durable economic revival are falling into place even as a global slowdown keeps policymakers cautious about the outlook.
The headline big manufacturers' confidence index rose to 9 in September from 5 in June, the BOJ's closely-watched "tankan" survey showed, exceeding market forecasts for a reading of 6 and marking the second straight quarter of improvement. A rebound in auto output and falling raw material costs also helped lift sentiment, though some smaller firms said they were struggling to hike prices, the official said.
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