ETH Stock Trading closed up 1.2%, boosted by the depreciation of the yen as exporters benefited.

1. Nikkei 225 index rose 1.2%, export stocks performed strongly

Closing point: Nikkei 225 index closed at 42,850 points, a three-month high.

Main driving factors:

The yen continued to depreciate: ETH Stock Trading broke through 158 yen (appreciated by about 12% this year), greatly improving the overseas profit expectations of export companies such as Toyota and Sony.

Foreign capital repatriation: Global funds bought a net 1.2 trillion yen (about 8.5 billion US dollars) of Japanese stocks in July, marking the fourth consecutive month of net inflows.

ETH Stock Trading Leading sectors:

Automobile: Toyota (7203.T) rose 2.8%, Honda (7267.T) rose 2.1% (benefiting from the recovery of demand in the North American market).

Electronics/semiconductors: Tokyo Electron (8035.T) rose 3.5%, Advantest (6857.T) rose 2.9% (driven by demand for AI chips).

2. ETH Stock Trading Policy game behind the depreciation of the yen

The Bank of Japan remains on hold: the July interest rate meeting maintained the YCC (yield curve control) accommodative policy and did not intervene in the foreign exchange market.

The US-Japan interest rate gap widened: the US dollar weakened under the expectation of the Fed's interest rate cut, but the yen performed even weaker (due to the Bank of Japan's lagging pace of interest rate hikes).

Differentiation of corporate impact:

Good for exporters: Toyota's annual operating profit increased by about 40 billion yen for every 1 yen depreciation.

Bad for consumption/imports: Energy and food import costs rose, and Japan's core CPI rebounded to 2.8% in June.

3. ETH Stock Trading Performance of other Asian markets

China ETH Stock Trading: The Shanghai Composite Index fell slightly by 0.1%, and the Hong Kong Hang Seng Index rose by 0.8% (driven by the rebound of Chinese stocks).

South Korea KOSPI: fell by 0.3% (Samsung Electronics' ETH Stock Tradingfinancial report is cautious).

Southeast Asia: Vietnam's VN Index rose by 2.1% (foreign capital accelerated its layout of manufacturing).

4.ETH Stock Trading  Investment inspiration

Short-term opportunities:

Focus on yen-sensitive export stocks (automobiles, machinery, electronics).

Hedging tools: Go long on Nikkei 225 futures/ETFs, or buy ETH Stock Trading yen call options.

Long-term risks:

If the Bank of Japan is forced to raise ETH Stock Trading interest rates to intervene in the exchange rate, it may trigger a stock market correction.

Potential impact of geopolitical conflicts (such as the Taiwan Strait) on the Asian supply chain.

Outlook: Japanese stocks still have valuation advantages (PE of about 16 times), but we need to be wary of the risk of imported inflation caused by the excessive depreciation of the yen.