MNI BRIEF: Japan Consumer Confidence Posts 4th Straight Rise

Japan’s consumer confidence index posted a fourth straight rise in November, climbing 1.7 points to 37.5 from 35.8 in October, though the government left its overall assessment unchanged, data released by the Cabinet Office on Tuesday showed.

Indexes tracking overall economic well-being, perceptions of income conditions, the labour environment and willingness to buy durable goods all improved.

An official told reporters that the rise in the Nikkei Stock Average appeared to be behind the improvement in sentiment, although the government said it had not asked respondents about the reasons for the change from the previous month.

The government said consumer confidence is recovering.

The sub-index on asset prices, which is not included in the overall confidence calculation, rose to 47.3 in November from 47.0 in October.

The results eased the Bank of Japan’s concerns that private consumption could lose momentum as households remain under pressure from high living costs amid negative real wage growth.

The share of respondents projecting consumer price gains stood at 90.6% in November, down from 92.6% in October, while the share expecting lower prices rose to 3.5% from 2.2%.

Meanwhile, the proportion of respondents forecasting consumer price inflation of more than 5% one year ahead fell to 44.7% in November from 50.5% in October.