MNI DATA IMPACT: Japan June Sentiment Up As Services Rally

--Japan June Econ Watchers Current Index 38.8; May 15.5 

--Japan Govt Ups View: Improvement of Sentiment to continue

     TOKYO (MNI) - Japan's current sentiment index rose for the second straight

month in June, boosted by a pick-up in eating and drinking services, retail

sales and general services, a key government survey released Wednesday showed.

     The survey indicates whether respondents with jobs most sensitive to

economic conditions -- taxi and truck drivers, department-store sales staff and

restaurant and shop owners -- think economic conditions have improved or

worsened over the last three months.

     These are the key points from the latest Economy Watchers Survey, conducted

by the Cabinet Office between June 25 and June 30.

     --The Economy Watchers sentiment index for Japan's current economic climate

rose 23.3 points to 38.8 in June a seasonally adjusted basis, after rising 7.6

points to 15.5 in May.

     --The May Watchers outlook index for two to three months ahead showed a

second straight rise, up 7.5 points to 44.0 after rising 19.9 points to 36.5 in

May.

     --Restaurants and retailers were among the hardest-hit businesses in the

poll, which targeted roughly 2,000 people, including store managers and taxi

drivers.

     --The Cabinet Office upgraded its overall economic assessment based on the

Economy Watchers Survey, saying, "Severity caused by the coronavirus continues

but sentiment showed a sign of recovering. Looking ahead, there is concern over

development of infectious disease but improvement is likely to continue."

     **The government on May 25 lifted the state of emergency and businesses and

services resumed.

--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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