MNI 5 THINGS: Japan Oct Household Spending Falls In Dec Qtr

--Household Spending -0.3% Y/y VS Median +1.4%

--Post 2nd Straight Y/Y Drop In Three Months

--Household Spending +1.8% M/m VS Sep -4.5% 

     TOKYO (MNI) - Japan's real average household spending fell 0.3% in October

from a year ago on a seasonally adjusted basis, with falling expenditure on

clothing and footwear as well as housing weighing, a Family Income and

Expenditure Survey on Household released by the Ministry of Internal Affairs and

Communications on Friday shows.

     The five major points are:

     --Spending by households with two or more people fell 0.3% y/y after

adjusting for two survey methods, accelerating from the 1.6% decline in

September. A survey of 13 economists by MNI had projected a 1.4% rise.

     --The ministry kept its assessment on the measure's outlook from last

month, saying household spending "is picking up, but marking time." Previously,

the government described its view as "picking up."

     --October's drop was led by the reduction in demand for clothing and

footwear, which fell 8.0% y/y. Spending on housing also contracted by 3.6% y/y.

     --Household spending rebounded on a month basis -- up 1.8% from a 4.5% fall

in September. 

     --The average real income of households with salaried workers fell further

for a forth month, down 2.9% y/y. The measure dropped 1.5% y/y in September.

--MNI Beijing Bureau; tel: +86 (10) 8532-5998; email: flora.guo@marketnews.com

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

[TOPICS: MAJDS$,MAUDR$,MAUDS$,M$A$$$,M$J$$$,M$U$$$]