JAPAN WHOLESALE PRICES FALL 0.1 PCT IN FEBRUARY
Japan's overall wholesale price index
(base 1980) fell 0.1 pct in February from a month earlier to
86.4 for the second consecutive month-on-month fall, the Bank
of Japan said.
    Wholesale prices fell 0.6 pct in January from December.
    The index fell 9.1 pct from a year earlier for the 21st
straight year-on-year drop, the central bank said.
    The reduced month-on-month drop mainly stemmed from the
recovery in world crude oil prices, it said.
    On a customs-cleared basis, crude oil prices rose to around
17 dlrs a barrel in February from about 15 dlrs in January.
    The average value of the yen against the dollar rose 0.8
pct to 153.50 in February from 154.67 in January and was up
16.8 pct from 184.55 a year earlier, the bank said.
    The export price index in February fell 0.7 pct from a
month earlier reflecting price cuts in export products like
cars and precision instruments due to severe foreign
competition. The index was down 7.1 pct from a year earlier.
    The import price index rose 1.1 pct from a month earlier to
57.4 for the sixth successive month-on-month gain mainly due to
the continued strength of world crude oil prices. But the index
was down 29 pct from a year earlier.
    The domestic price index fell 0.1 pct to 91.9 in February,
its 24th straight monthly drop, mainly reflecting falls in
prices of home appliances such as colour televisions due to
severe sales competition at home. Lower edible oil prices added
to the decline.
    The index was down 6.7 pct from a year earlier.
    The domestic index marked its largest year-on-year drop of
7.1 pct in January since the central bank started compiling
such statistics in 1960 under its current system.
    Wholesale prices are likely to turn upward in March as
higher world crude oil and raw material prices are expected,
the bank said.
 REUTER
