TOKYO (AFX-ASIA) - The uncertainty surrounding the outlook for industrial output in the aftermath of the Sept 11 terrorist attacks on the US faded somewhat in October, a Ministry of Economy, Trade and Industry official said. The official said that the ministry now feels better able to make forecasts for industrial output, adding that the figures suggest that there has been a relatively solid start to sales for the Christmas period. In October, for example, electronic games output rose 3.3 pct month-on-month. "Output of game software and hardware seems to be solid for US Christmas sales and I have heard (from the industry) that output this year is not especially bad" following the Sept 11 attacks, the official said. Auto shipments also rose 5.1 pct month-on-month, supported by a solid US market on the sales incentive plans offered by major US auto firms after Sept 11, the official said. "In addition, shipments to Europe as well as in the domestic market were also solid in October," he said. However, such gains were not enough to push overall industrial output or shipments into positive territory due to a continued fall in the electric machinery industry and microchips. Industrial output of electric machinery fell 2.0 pct month-on-month in October, while shipments in this segment were down 4.5 pct. As a result, the seasonally-adjusted index of industrial production was at a record low of 92.5 points and that of shipments at 94.9 points, the lowest level since Feb 1994, the official said. However, the October industrial output data came in better than the ministry's original forecast of a fall of 0.5 pct, the first time this has happened since June 2000, the official said, adding that a continued fall in inventory levels in the month is a positive sign. "It seems that inventory adjustments have been proceeding relatively well," the official said.