CNA – Nearly 64 per cent of Japanese companies see the yen’s recent declines as having a negative impact on their profits, a survey by private think tank Teikoku Databank showed yesterday.
About half of the companies surveyed saw 110-120 as the appropriate level for the dollar/yen pair, much stronger for the yen than recent levels around 156, the survey showed.
The survey was conducted from May 10 to 15 with 1,046 firms making valid replies. While a weak yen gives exports a boost, it has been a headache for policymakers as it hurts the economy by inflating the cost of importing fuel and raw material.
After the yen hit a 34-year low of 160.245 per dollar on April 29, Japanese authorities are suspected to have spent more than JPY9 trillion (USD58 billion) intervening in the market to prop up the currency.
The dollar stood at 155.80 in Asia yesterday.
