TOKYO, July 6 (Xinhua) -- Japan's coincident composite index ( CI), which reflects current business conditions, fell 0.1 point to 101.2 in May, marking the first drop in 14 months, the Cabinet Office said in a report on Tuesday.
The decline in the index was led by drops in manufacturers' investment goods shipments (excluding transport equipment), commercial sales (both retail and wholesale), industrial output and large industrial power consumption, according to the government report.
The leading composite index, which measures the state of the economy three months ahead dipped a preliminary 3.0 points from April to 98.7 against a base of 100 set in 2005, marking the second straight month of decline.
The lagging CI, which reflects economic conditions in the recent past gained 0.7 point to 83.6 in May, logging the first rise for two months.
The diffusion index (DI) of coincident indicators stood at 88.9 in May dropping from 95.0 logged in April, the Cabinet Office said.
However, the coincident DI was above the key 50 level for the 13th straight month, indicating the economy is in a state of expansion.
The diffusion index of leading indicators in May stood at 55.0, a drop from April's reading of 90.9, but above the key 50 line for the 14th straight month.
The lagging DI in May stood at 50.0 a rise from April's reading of 20.0 according to the data.
The government left its basic assessment of the indexes unchanged, saying they are "showing improvements."