MNI DATA IMPACT: Japan Feb Industrial Output Up 1.4% M/M: METI

--Japan METI Forecast Index: Mar Output +1.3% M/M, Apr +1.1% M/M

--METI Kept View That 'Factory Output Seen Marking Time'

     TOKYO(MNI) - Japan's industrial production picked up for the first time in

four months in February, data released Friday by the Ministry of Economy, Trade

and Industry showed. METI kept its outlook that "production is marking time". 

     Here are five key points: 

--Industrial production rose 1.4% m/m in February, reversing the trend of recent

three months (-3.4% in Jan), and also beating an MNI survey forecast of a

projected 1.0% growth. 

     --Output in 5 out of 15 industries declined month-on-month, less than the

12 seen in the previous month. Increases in automobiles, the

electric/information communication machinery and production machinery industry

largely contributed to the improvement.

     --Shipments rose by 1.8% m/m in February, up from the 3.4% drop in January,

marking the first rise in four months. The increase was led by growth in

automobiles, transportation machinery and production machinery.

     --Inventories rose for the first time in two months, up by 0.5% m/m in

February, improving from January's 1.4 m/m drop. 

     --Industrial production may rise 1.3% on month in March (the growth was

revised up from -1.6% in the previous forecast), and rise 1.1% m/m in April,

METI said.

--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

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