MNI DATA IMPACT: Japan Dec Machine Orders Drop 12.5% M/M

     TOKYO (MNI) - Japan's core machinery orders, excluding those for power

generation equipment and ships, fell sharply in December, dragged lower by the

slump in the non-manufacturing sector, according to data from the Cabinet Office

released on Wednesday. 

     -- Core orders decreased 12.5% m/m in December, sharply down from the

previous 18.0% m/m gain. 

     -- Orders from non-manufacturing sectors dropped 21.3% m/m, plunging from

the 27.8% m/m increase reported last month. Orders from manufacturing sectors

edged up for the third month by 4.3% m/m, up from the previous 0.6% m/m growth. 

     -- The outlook for the January-March period is for a 5.2% fall, faster than

the 2.1% decrease seen in the previous quarter.

     --The three-month moving average of core orders fell -1.0% in December,

following a 2.7% increase recorded in November.

     --The Cabinet Office maintained its outlook assessment on the machinery

orders, saying the recovery was "marking time".

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

--MNI Sydney Bureau; +61 405322399; email: lachlan.colquhoun.ext@marketnews.com

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