I have been saying that appropriate yen-dollar rate is between 110 and 120, and I do hope that yen would not surpass 110 yen to a dollar. Further appreciation and sustaining of the yen at the level will aggravate corporate performance. However, it is just one of many overt risks before Japan's economic growth including growth of China's and the U. S. economy, high crude oil price, Iran's case, and Iraq situation.
Keidanren has called on the government to raise consumption tax to 10% as soon as possible, but it also understands the government's needs to further cut its expenditures -- consumption tax should be raised after drastically cutting unnecessary spending on welfare, public works, and public payroll.
It was the fault of Hanshin Group management that "Murakami Fund" went unnoticed until 48% of its shares were bought. Now Hanshin Group management should watch carefully on what "Murakami Fund" wants -- either to act as a good guy or a bad guy.
If gas price keep rising and stay high, it will have a negative impact on the growth of Japan's economy. One must remain calm and watch how market fluctuates.