MNI DATA IMPACT: Japan Consumer Confidence Down On Living View

--Japan June Consumer Confidence Index 38.7 Vs May 39.4 

--Japan Govt Keeps View: Consumer Confidence Weakening

     TOKYO (MNI) - Japan's consumer confidence index fell 0.7 points to a

seasonally adjusted 38.7 in June, the ninth straight monthly drop, the latest

Consumer Confidence Survey released by the Cabinet Office showed Monday.

     The dip, which came after a 1.0 point fall to 39.4 in May, was caused

mainly by weaker prospects for purchases of durable goods and living.

     --The Cabinet Office left its assessment unchanged, saying consumer

confidence was "weakening." The government in February lowered the assessment

from January when it said that consumer confidence "showed weak moves."

     --Consumers were more pessimistic on three out of the four key sentiment

indicators, the next six months would be a good time to buy durable goods,

employment prospects and overall economic well-being.

     --The sub-index on asset prices, which is not included in calculating

overall consumer confidence, showed the second consecutive drop, down 0.5 points

to 39.3 after falling 1.8 points to 39.8 in the previous month.

     --The survey also showed the public's inflation expectation for the next 12

months rose for the first rise in two months. The share of those projecting

price gains rose to 87.9% in June, after falling 0.7 points to 87.0% in May. The

share of respondents forecasting lower prices rose to 3.7% in June from 3.1% in

May.

--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

[TOPICS: M$A$$$,M$J$$$]