REPEAT: MNI: Japan Sep Consumer Sentiment, Price Outlook Down

Repeats Story Initially Transmitted at 05:02 GMT Oct 5/01:02 EST Oct 5

--BOJ Sept Consumer Sentiment Diffusion Index Down 3.4 To -13.3 

     TOKYO (MNI) - The Bank of Japan's quarterly consumer survey released Friday

showed sentiment fell from three months ago, judging from income and business

conditions amid the rising cost of living.

     The key points from the survey results:

     --The BOJ's consumer sentiment diffusion index for the current climate fell

3.4 points to -13.3 in September, after rising 2.5 to -9.9 in June. It was the

first drop in two quarters. More people said income and business conditions

worsened from a year earlier.

     --The consumer sentiment outlook index projecting conditions a year ahead

marked the second straight drop, down by 0.5 points at -17.1 in September after

falling 1.4 points to -16.6 in June.

     --The BOJ survey also showed that the percentage of respondents expecting

prices to rise in the next year stood at 76.0% in September, down from 77.4% in

June. Just 2.2% of those responding said prices would fall in the next year, up

from 1.7% three months earlier. Those saying prices would be little changed 12

months ahead rose to 20.9% from 20.3%. The median CPI forecast stayed at +3.0%.

     --Looking five years ahead, 80.6% said prices would rise, down from 82.3%

three months earlier. Meanwhile, 4.4% of respondents expect prices to fall,

compared with 3.2% in June. Those saying prices would be little changed rose to

13.0% from 12.9%. The median forecast stayed at +2.0%.

     The survey was conducted between August 9 and September 4 and of the 3,805

people polled, 1,963, or 51.6%, responded to the BOJ survey.

--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