Info via Japanese media, reports adding that:
- headwinds including the ongoing chip shortage and supply chain disruptions
- annual vehicle output for the fiscal year ending March will fall below its most recent target of 9 million as the chip crunch wreaks havoc along Southeast Asia's supply chains.
- The production restraints have contributed to a tightening auto market and a reduction in dealer incentives, which fattened Toyota's margin.
- falling yen made exports cheaper, brought in bigger foreign currency profits
More reports like this should serve to quieten Japanese politicians complaints about the falling yen.
SG see conditions shaping up for the yen to drop even further:
(If) US 10-yr yield rises above 2%, Société Générale targeting towards 120 in USD/JPY
