TOKYO, Jan. 12 (Xinhua) -- Sentiment on conditions in Japan rose for the first time in three months in December, according to the Economy Watchers survey, which was released on Tuesday.

    Sentiment rose by 1.5 points to 35.4 in December, according to the survey, which questions people on the front line of the economy, such as hairdressers and taxi drivers.

    According to those questioned, people were now more willing to spend their money with big year-end sales and the Christmas season taking precedence over nerves about financial woes that may arise as the economy continues its slow and tentative recovery in the aftermath of a sharp decline due to the shock waves that emanated from the credit crisis started in the United States in late 2008.

    The survey also noted that the public seems to believe that the employment situation has begun to stabilize, and that the worst of the conditions created by the weakened economy may be over.

    The survey also showed that sentiment over the future of the economy, rising by 1.8 points to 36.3. Those surveyed cited the effects of government stimulus packages as being a major factor in this rise. It also said that the effects of the dramatic rise of the yen at the end of last year against the dollar as leading to amore positive outlook on the economy.

    The survey did send a warning, however, that the weakened economy had made conditions more difficult for households, and that this feeling was likely to last for some time to come.

    In November, sentiment on the economy plummeted amid difficult conditions that saw deflation start to take hold and prompted the government and Bank of Japan (BOJ) look to implement a series of measures to try to stimulate spending and business investment.

    Statistics released earlier on Tuesday showed that Japan's current account surplus had surged 76.9 percent year on year, perhaps signaling further improvements for the nation's dour economy.

Special Report:  Global Financial Crisis