Yen Likely to Strengthen Over Next 3 to 12 Months: Nikko Asset Management

The video discusses the factors contributing to the strengthening of the Japanese yen, including potential interventions by Japan's currency chief, a shift from trade deficit to surplus, and increased tourism. It also covers the impact of interest rate differentials, with the Fed expected to raise rates slightly before pausing, and the BOJ's potential actions. The influx of money into the Japanese stock market is also highlighted. The video concludes with an analysis of which sectors will benefit from the yen's strength, focusing on domestic demand and tourism, while commodity sectors may see less growth.

What are the implications of the Bank of Japan's potential interest rate changes on the yen?

Which sectors in Japan are expected to perform well in the context of a strengthening yen?