MNI DATA IMPACT: Japan Aug Core CPI Slows, Energy Costs Down

--Japan Aug Core CPI +0.5% Y/Y; MNI Median +0.5%; July +0.6% 

--Japan Aug Core-Core CPI +0.6% Y/Y; July +0.6% 

--Japan Aug CPI Energy Costs -0.3% Y/Y; July +0.6% 

--Japan Aug CPI Food Ex-Perishables +1.1% Y/Y; July +1.2% 

--Japan Aug CPI Household Durable Goods +5.4% Y/Y; July +3.8%

     TOKYO (MNI) - Japan's annual core consumer inflation rate slowed in August

from the previous month's level as energy costs turned lower on year, data from

the Ministry of International Affairs and Communication released Friday showed.

     The key points from the latest CPI data:

     --The national average core consumer price index (excluding fresh food)

rose 0.5% on year in August, slowing from +0.6% in July and in line with an MNI

survey, recording a 32nd straight year-on-year rise.

     --The decelerating inflation rate was caused mainly by lower energy costs,

which fell 0.3% on year in August, reversing from July's 0.6% gain.

     --Overall CPI rose 0.3% on year in August, also slowing from 0.5% in July.

     --The underlying inflation rate measured by the core-core CPI (excluding

fresh food and energy) rose 0.6% on year in August (vs. +0.6% in July),

indicating that corporate price hikes pushed by higher costs are limited. It was

the 26th consecutive year-on-year rise.

     --Prices for overseas holiday tours rose 4.1% y/y in August, slowing from

+4.6% in July. Prices for household durable goods were up 5.4% on year in

August, accelerating from +3.8% in July.

--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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