Japan August nationwide core CPI falls 0.1%

Sep 28, 2007 - Japanese core consumer prices fell 0.1 per cent in August from a year earlier, marking the seventh straight month of annual declines and matching economists' consensus forecast, government data showed on Friday.

In the Tokyo area, the core consumer price index (CPI), which excludes volatile fresh food prices, fell 0.1 per cent in September compared with a year earlier, against the consensus forecast of a flat reading.

The government announces Tokyo area figures a month before the nationwide figures.

August jobless rate rise to 3.8%
Japan's seasonally adjusted unemployment rate rose to 3.8 per cent in August against a market consensus forecast of 3.6 per cent, government data showed.

The jobs-to-applicants ratio for August was 1.06, meaning 106 jobs were available per 100 applicants, below the market consensus forecast of 1.07.

Industrial output up 3.4%
Japan's industrial production rose 3.4 per cent in August from a month earlier, compared with a median market forecast for a 3.2 per cent rise.

Manufacturers' output, the core component of production, is expected to fall 0.8 per cent in September but rise 4.1 per cent in October, data from the Ministry of Economy, Trade and Industry showed.

The ministry said industrial output is on a moderate rising trend, upgrading its assessment for the first time in four months.

August retail sales rise 0.5%
Japanese retail sales rose 0.5 per cent in August from a year earlier, compared with economists' median forecast for a 0.1 per cent increase.

It was the first time in three months that retail sales increased from the same month a year ago, signalling a moderate recovery in consumer spending.

Compared with July, retail sales were up 3.9 per cent on a seasonally adjusted basis, the Ministry of Economy, Trade and Industry said.

All households spending up 1.6%
Overall household spending in Japan rose 1.6 per cent in August from a year earlier in price-adjusted real terms, against a median market forecast of a 1.2 per cent rise.

Compared with July on a seasonally adjusted basis, spending rose 0.4 per cent.

The average household spent 296,035 yen (US$2,561) in August, according to the data released by the Ministry of Internal Affairs and Communications.

Spending by wage earners' households rose 3.6 per cent in August from the same month a year ago, the data showed.