Japan Input, Output Prices Slow In July

8/14/2007 5:29:27 AM Japan's input price index for the manufacturing industry rose 0.5% in July from the previous month, a preliminary report released by the Bank of Japan said Tuesday. In June the index gained a revised 0.6%. Annually, the index gained 5.3% in July, down from a revised increase of 6.2% in June.The report said that the output price index increased 0.4% in July on a monthly basis, the same pace in the prior month. On a yearly basis, the index rose 3%, down from 3.3% growth in June. The report added that almost all sectors recorded increases in input prices on a monthly basis, pushing the index up. Prices of iron & steel and non-ferrous metals led the increase, with 1.3% growth each in July. Input prices of petroleum and coal products rose 1.1% from the prior month. However, prices of food products declined.The monthly increase of output price index was fueled by higher prices of petroleum & coal products, rising 2.7% in July. However, output prices of textile products declined 1.2%. Prices of electrical machinery, transportation equipment and precision instruments fell from the prior month.On a yearly basis, iron and steel sector showed the highest rate of 12.4% growth in July. In contrast, prices electrical machinery slipped 0.5%. Japan's output/input prices of manufacturing industries declined 0.1% in July from the previous month. In June, the output/input ratio index dropped a revised 0.1%. Annually, the index slipped 1.9% in July following a revised fall of 2.4% in June.