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TOKYO (Thomson Financial) - The Bank of Japan has left its assessment of the economy unchanged for August, saying it is expanding and will continue to do so as deflationary pressures ease.

"Japan's economy is expanding moderately," the central bank said in its latest monthly report, using the same words that it used in the July report.

(1 usd = 115.82 yen)

yasuhiko.seki@thomson.com

yas/jm

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