TOKYO -- Many blue-chip Japanese companies have revised their hypothetical exchange rates to reflect a stronger yen, which could diminish the earnings boost that was previously anticipated.
Automotive and other companies were among those that made updates for the current quarter through March when they announced earnings for the April-December period. The Japanese currency has recently strengthened, trading at around 117 yen to the dollar, compared with roughly 120 yen in the second half of last year. If the yen stays firm, export-focused companies would lose some of the earnings support they have enjoyed from a weak home currency.
