The latest poll of business in Japan from Reuters shows Japanese companies believe that neither Trump nor Japan PM Abe want to see the yen weaken significantly
- Survey highlights caution over how U.S. policy will develop under Trump (his protectionist agenda)
- 73 percent of those surveyed said that Trump would not tolerate the dollar rising beyond 120 yen
- 90 percent saw 125 yen as a red line
- "I think the U.S. will try to arrest excessive strength in the dollar in order to promote protectionism" wrote one respondent
Reuters add, as a bit of a reminder:
- Bank of Japan Governor Haruhiko Kuroda warned of a potential hit to households when the dollar rose to around 125 yen in mid-2015. That has led markets to believe Tokyo won't tolerate a dollar rise above that level, known as the "Kuroda line".
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The survey was conducted January 4 to 17
It's a monthly poll
531 big and mid-sized companies
Around 240 responded
