Weakening Yen, Driver of Strengthening Export Shares on the Tokyo Stock Exchange

Jakarta — The Tokyo Stock Exchange roared again in today's trading, with the Nikkei 225 index recording an increase of 178.4 points or around 0.47 percent, bringing the closing figure to 38,288.62. This is not just a number, but a reflection of market dynamics influenced by fluctuations in the yen exchange rate against the US dollar.

Today, the yen weakens against the dollar, making it cheaper for overseas buyers to get Japanese-made goods. With the dollar exchange rate strengthening by 0.1 percent against the yen, reaching 144.65 yen per US dollar, shares of export-oriented Japanese companies are gaining positive momentum.

Among the stocks that stole attention, the industrial machinery manufacturing company JTEKT emerged as a star, with shares rising by 5.7 percent. This is a strong signal that global demand for industrial machinery produced by Japan continues to increase, especially as export costs become more competitive due to the weakening yen.

Not only JTEKT, other companies operating in the export sector also recorded brilliant performance. Shares of Nissui, a marine products company known for its innovation and product quality, jumped 4.26 percent. This increase also reflects market optimism regarding stable global demand for seafood products from Japan.

The retail sector is also not left behind. Shares of Seven & I Holdings, a leading retail company, rose by 4.22 percent. While the retail sector is usually more focused on the domestic market, a stronger dollar against the yen could also mean more tourists shopping in Japan, as well as greater opportunities for global expansion.

Engineering companies JGC Holdings and Mitsubishi Heavy Industries also saw their shares increase, by 3.65 percent and 3.27 percent respectively. This shows that Japan's infrastructure and heavy technology sectors are still highly sought after in the international market, which continues to grow despite unavoidable global challenges.

Shares of the pharmaceutical company Chugai Pharmaceutical also rose by 3.58 percent. In a world where health is a top priority, Chugai continues to gain investor trust thanks to its innovation and superior pharmaceutical products.

The strengthening of the Nikkei and Topix indexes today is proof that the Japanese stock market continues to be dynamic, influenced by various factors, including exchange rate movements. For market players, this is a reminder that behind the index numbers lies a story about how the global economy, innovation and corporate strategy can create new opportunities.

Meanwhile, for astute investors, the weakening yen is not only a challenge, but also an opportunity to diversify portfolios and profit from Japanese companies that continue to adapt and thrive on the international stage.