Japanese machinery orders slump.

Japanese machinery orders, a leading indicator of capex, dropped for the first time in four months in January, plunging 13.1% vs +2.8% in December and consensus of -2%. The government blamed the sharp drop on big-ticket items such as turbines and boilers, and forecast a rise in orders of 0.8% in Q1. Economist Takeshi Minami says that while the fall was greater than expected, "this is a temporary fall."