Insurers are taking account of the fact that annuity payments will have to be paid out for a number of additional years - so there is a strong downward pressure on annuity rates in the long term.

BBC: Credit crunch benefits retirees

Both Lear and Dana are reporting strong rises in profits, despite the downward pressure on prices.

ECONOMIST: Too many pieces

But a weak dollar and a strong yen can only worsen Japan's economic plight by putting still more downward pressure on prices and making exports one of Japan's few sources of growth less competitive.

ECONOMIST: The world��s new currency worries