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Japan Sept coincident indicator index +0.1 point m/m

Published 11/06/2008, 12:12 AM
Updated 11/06/2008, 12:14 AM

TOKYO, Nov 6 (Reuters) - Japan's index of coincident economic indicators rose 0.1 point to a preliminary 100.8 in September from 100.7 in August, government data showed on Thursday, but the marginal rebound failed to dispel concerns about the world's second-largest economy being on the verge of a recession.

The reading was below a median market forecast of a 0.2 percent rise.

The index of leading economic indicators, compiled using data such as the number of new job offers and consumer sentiment, rose 0.2 points to a preliminary 89.2 in September.

The Cabinet Office maintained its assessment on the coincident index, saying Japan's economy was worsening. The phrase is defined as a provisional judgment that the economy is likely to be in a recession.

The assessment is decided automatically based on moves in the coincident index in the previous few months.

The Japanese government defines a recession as the period between the peak and trough of the economic cycle, rather than the often used definition of two straight quarters of economic contraction.

Economists polled by Reuters now say the Japanese economy probably contracted in the three months to September, or the second straight quarterly contraction, also matching the widely used definition of a recession.

The Cabinet Office will release third-quarter GDP data on Oct 17.

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http://www.esri.cao.go.jp/en/stat/di/di-e.html Source: The Cabinet Office (Reporting by Yasuhiko Seki)

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