The Yen/Dollar exchange rate has gone from 90 to 100 since the beginning of the year, which is helpful because we’ll be visiting Tokyo in less than two weeks. From the Wall Street Journal:
Japan’s economy is mired in recession. The Bank of Japan’s tankan survey of corporate sentiment recently showed that the country’s big manufacturers are more pessimistic than ever. Exports fell 50% in February from a year earlier.
So the steady erosion of the yen against the dollar — it is down about 10% since the start of the year — could continue for some time. Goldman Sachs suggests that a fair value for the yen is around 114 to the dollar.
Surely, few in Japan are upset by this. Over the course of a year,says, a one-point rise in the yen against the dollar eats up $400 million of its operating profit.
Meanwhile Bloomberg just reported that the Japanese government may announce a new 15.4 trillion yen ($154 billion) stimulus package to help revive the economy.