MNI 5 THINGS: Japan Feb Sentiment Rises on Higher Retail Sales

--Japan Feb Econ Watchers Current Index 47.5; Jan 45.6 

--Japan Feb Watchers Current Index Posts 1st Rise in 3 Months 

--Japan Feb Watchers Outlook Index 48.9; Jan 49.4 

--Japan Feb Watchers Outlook Index Posts 1st Drop in 2 Months 

--Japan Govt Ups View: Moderate Recovery Continues

     TOKYO (MNI) - Japan's current sentiment index rose in February for the

first rise in three months, thanks to stronger items linked to retails sales,

services and housing, a key government survey released Friday showed.

     The survey indicates whether respondents with jobs most sensitive to

economic conditions -- taxi and truck drivers, department-store sales staff and

restaurant and shop owners -- think economic conditions have improved or

worsened from three months prior.

     These are the key points from the latest monthly Economy Watchers Survey,

conducted by the Cabinet Office between Feb. 25 and Feb. 28.

     --The Economy Watchers sentiment index for Japan's current economic climate

rose 1.9 points to 47.5 in February on a seasonally adjusted basis, the first

rise in three months after falling 1.2 points to 45.6 in January. The index

remains below the key level of 50.

     --The Watchers outlook index showed sentiment over outlook two to three

months ahead marked the first drop in two months, down 0.5 points to 48.9 on the

back of weaker outlook for eating and drinking services. 

--The Cabinet Office upgraded its overall economic assessment based on the

Economy Watchers Survey, saying, "a moderate recovery continues." The government

previously said that a moderate recovery continues but was "marking time."

     --"Looking ahead, there are concerns over uncertainty over the global

economy but there are expectations for (higher sales and businesses) linked to

the era name change and the planned holidays (from April 27 to May 6)," the

Cabinet Office said.

--MNI Tokyo Bureau; tel: +81 90-2175-0040; email: hiroshi.inoue@marketnews.com

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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