21.   Foreign travel, rents and fresh vegetables accounted for most of the latest monthly rise, while deflationary pressure came from fresh fruit and car fuel.

22.   However, several economists said deflationary pressures were showing signs of relenting.

23.   At the US bank Smith Barney, analyst Christophe Lalo said that bond markets were rising in response to deflationary pressures.

24.   Bank of Japan governor Yasuo Matsushita on Wednesday denied speculation that the Japanese economy was facing deflationary pressure.

25.   But he ruled out concerns about growing deflationary pressure, saying that a fall in prices would come to a halt as the domestic economy recovers.

26.   Economists said the recent round of central bank intervention also appeared to be aimed at heading off deflationary pressures squeezing the Japan economy.

27.   Economic Planning Agency Director-General Masahiko Komura called on the Bank of Japan Tuesday to ease monetary policy further to support economic recovery amid growing deflationary pressures.