MNI DATA IMPACT: Japan July Household Spending +0.8% Y/Y

     TOKYO (MNI) - Japan's average monthly consumption expenditure per household

increased 0.8% on a yearly basis in July, a survey released by Japan's Ministry

of Internal Affairs and Communications showed Friday.

     --Spending by households with two or more people slowed but still increased

by 0.8% y/y from the previous month's 2.7% gain, posting the eighth straight y/y

rise. The increase came in lower than the MNI survey median of a 1.0% y/y gain. 

     -July's deceleration was a result of lower expenditure on major items.

Spending on food dropped 0.2% from June's 1.0% gain, and fuel, lighting and

water charges fell by 3.4% from the previous 3.7% gain.

     --The average real income of households with salaried workers slowed to

1.1% y/y from June's 3.5% growth. 

     --Japan's government maintained its view on the household spending outlook,

repeating the line that it is "picking up". Previously the government view was

that spending "shows signs of pickup".

--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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