The latest Reuters Japan Corporate Survey, main points:
- Almost half of firms see yen's weakness beyond 155 yen per dollar negative for their business
- Quarter of firms see yen's slide below 155 yen per dollar as beneficial
- 37% of firms want the BOJ to raise rates to counter weaker yen
- Nearly two-thirds of firms considering raising product prices to cope with yen's weakness
- 34% of firms want Japan’s government to conduct forex intervention to counter softer yen
These results give you an indication of the sorts of pressures the Bank of Japan is under domestically to support the yen. Meanwhile they are sweating about maintaining inflation at or above target. Between a rock and a hard place they are.
Bank of Japan Governor Ueda
