In the Nikkei this morning:
- Japan's domestic demand-reliant companies are becoming more active on the capital investment front as business performance and personal spending pick up
- Auto and electronics makers are the main drivers
- These businesses this year plan to put more money into factory improvements, partly thanks to the weak yen
- And as domestic demand-reliant businesses respond to stronger demand, they will help to further expand capital spending
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Reports like this out of Japan are yen supportive as, at the margin, they reduce the probability of further BOJ action