Japan's core private-sector machinery orders rise 0.6 pct in April

TOKYO, June 16 (Xinhua) -- Japan's core private-sector machinery orders rose in April from a month earlier, the government said in a report on Wednesday.

According to the Cabinet Office, the orders, excluding those for ships and utilities because of their volatility, rose 0.6 percent in April from the previous month.

The orders, rising for a second straight month, totaled 802.87 billion yen (7.3 billion U.S. dollars), in the recording period, the government's data showed.

Machinery orders are a key advance indicator for corporate capital spending and the government uses the data to predict the strength of business spending in a six to nine month period ahead.

A rise in capital expenditure can boost the economy as Japanese companies are producing more machinery to meet rising demands from overseas markets.

Such business investment accounts for roughly 15 percent of Japan's gross domestic product.

Types of machinery included in the monthly government survey comprise engines and turbines, heavy electrical machinery, electronic and communication equipment, industrial machinery, machine tools, railway rolling stock, road vehicles, aircraft, ships, water crafts, as well as sub types in those categories.