Monday, March 10, 2008


As the carry trade continues to unwind, the Japanese Yen has risen sharply against the USD.

In addition to the slowing US economy; the rising Japanese Yen, is now affecting the profitability of large Japanese exporters like Toyota Motor Corp..
''A stronger yen cuts the repatriated value of vehicles sold by Japanese automakers in the U.S., the world's biggest auto market. Every 1 yen gain in the Japanese currency against the dollar trims 35 billion yen ($ 342mn approx.) from Toyota's annual operating profit, according to the company.''

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