Hey can someone break this down for me. Does this mean anything to Sony? It was written yesterday.
Japan has denied that it is deliberately trying to weaken the yen, saying the recent depreciation is part of a normal market correction.
But the nation's exporters, including major automakers Toyota ( and )Honda (, stand to benefit from a weaker yen, which makes Japanese goods more competitive on the global market. )
Meanwhile, investors have been piling into Japanese stocks since December, when Abe returned to power, promising to lift the economy out of recession.
Abe quickly unveiled a $117 billion fiscal stimulus package, including increased spending on public works, disaster recovery and aid to smaller businesses.
The combination of fiscal stimulus and central bank easing has attracted the attention of investors around the world, said said Michelle Gibley, director of international research at Schwab.
"Japan is really the story in 2013," said Gibley. "The motto this year could be 'don't fight the BoJ.'"
More favorable exchange rate effects for Sony. So dollars (or whatever) made abroad means more Yen for Sony. Also, investors believe that the Japanese economy with grow more with the stimulus, although I'm not sure how much of that is contributing to the stock price increase.
Overall, very good news from Japan. They're finally being aggresive with their fiscal and monetary policy, unlike the rest of the world.