MNI DATA IMPAT: BOJ Nov Consumption Index Rebounds

     TOKYO (MNI) - The Bank of Japan's Consumption Activity Index posted the

first month-on-month rise in two months in November, up 2.7% on a seasonally

adjusted basis, data released Friday showed.

     The rise came after downwardly revised fall of 9.1% (initially -7.4%) in

October and an upwardly revised rise of 4.3% in September.

     Private consumption was hit hard by the sales tax hike and a string of

natural disasters in October but rebounded, easing BOJ concern over spending.

     But the October-November index fell 4.5% q/q, reversing the 1.0% gain in

the Q3 and 0.7% rise in Q2.

     Government spending data remained weak but the November data released by

the BOJ was solid, possibly giving the BOJ room to maintain its current

assessment.

     The latest assessment was "private consumption has been increasing

moderately, albeit with fluctuations due to such effects as of the consumption

tax hike, against the background of steady improvement in the employment and

labor conditions.

--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: MAJDS$,M$A$$$,M$J$$$]