Japanese companies' capital expenditure plans shown in the Bank of Japan tankan survey expanded in line with typical historical trends despite lingering Middle East uncertainties, says Daiwa Securities economist Yutaro Suzuki. Investment appetite remains highly resilient, driven by robust corporate demand to maintain aging facilities and automate operations amid an acute domestic labor shortage, he says. "While private consumption remains sluggish, capital expenditure will likely serve as the main engine for the Japanese economy," Suzuki adds. Large firms plan to increase capital expenditure by 11.5% this business year, the tankan shows. (megumi.fujikawa@wsj.com)