No Maam
Resident Monarchist

Good animals won't damage you at the touch, and killing them decreases your spirits by 0.5
Bad animals damage you, and killing them won't decrease your spirits.
Touching the shop fox won't hurt you, and killing it won't affect you either, because it's NEUTRAL.

Finally, something I can understand!

The animals list (they're considered "righteous" or good unless bolded).

Jizou (drops Jizou ornament)
Tanuki (drops the lamp)
WOLF (drops the key)
Cat (drops the fishing rod)

All the animals after this point drop *stars*

Shop fox (designated "neutral" for some reason)
Dog, rabbit, cow, bear, owl, pig and squirrel are all good
MONKEY, OCTOPUS, TIGER (X2) LION (X2) OTTER (X2) AND CROCODILE ARE ALL BAD

**About the mermaid
She'll randomly appear below the spring with the waterfall. From Day 6 on, if you have max treasure, spirits and strength, as well as 9 items besides the jewel, she'll come out. In other words, have max stats and every item

As for treasure, hunt and collect the monkeys
A period of time monkeys come out (albeit rarely) is early morning. Take treasure and defeat wolves in order to recover a lost key. (??)
For spirits, fish (+1.5) + hot spring (+1) + taking treasure (+0.5)
I think it says taking the key, lamp or Jizou will LOSE you 1.5 spirits
And that if you recover strength at the hot spring, if you wake up within the hour you recover all your items!?

Lamp
For two hours within the game, it'll glow brightly inside the cave.

Key
With the key in hand, you can take as much treasure as you like. (It'll disappear when used.)

Fishing rod
You can fish by the side of the lighthouse. (It'll disappear when used.)

**When you take any treasure, your treasure gauge will go up 4 notches. If you have the key and the lamp, you can accumulate an unlimited amount of treasure.

More in-depth item effect explanation:

Jewel
When you use magic on the mermaid five times, the jewel will start flying up. If you run and catch it, it's yours. The effect will last for an hour, and if you catch it a second time, it'll revert time back an hour for you. The jewel will not only give you max stats for an hour, it'll also freeze the timers for the lamp and the Jizou statue.

Food list trans.:

Apple (from the start screen go ↓↓←)
Eggplant (from start go ↓→)
Cake (from start go ←)
Fish (obtained by fishing at the coast)
Milk (from start go →→↓→)

EDIT: My bad, it says that you need to trade 1 point of your treasure gauge for each of these except for the milk, which only needs 0.5 treasure.

Item list trans.:

Jewel (Get it at the spring with the waterfall by using magic on the mermaid 5 times). It lets you amp all your gauges to the max level for an hour.
Jizou ornament (Use magic on the Jizou) For two hours, you won't be able to lose your way on the road.
Lamp (Use magic on the tanuki) Necessary for picking up other treasures (It'll disappear in two hours)
Key (Use magic on the wolf) Necessary for picking up other treasures
Fishing rod (Magic on the cat) Needed to fish by the coast

I'm on a work computer that recognizes Asian characters, give me that site again so I can read through more of it for you

Your gauges, from the top down, are magic, spirits, strength and treasure. The thing to the right says "Item."

Chan! Kawaii nen!!

Chan! Cute, huh!

Your magic gauge is at the very top. Looks like it's empty