Japan May orders data shock casts shadow over recovery scenario

TOKYO: Japan's machinery orders tumbled by a record margin in May, dashing hopes for a bounce and casting doubt over a scenario of investment-led recovery in the world's third-largest economy.

The data are highly volatile, but serve as an indicator of capital spending in six to nine months and May's shocking 19.5 percent slump raised questions about the economy's ability to tide over a dent in consumption caused by an April 1 sales tax hike.