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Yen hitting bottom threatens Japan's record profit streak

Tokyo

JAPAN Inc's currency cookie jar may be just about empty.

That's the message in forecasts for the yen, whose three-year slide under Prime Minister Shinzo Abe underpinned the expansion of profits to an all-time high and a doubling of stock prices. The benefits went even further: Every year, big exporters such as Mitsubishi Electric Corp beat their own forecasts after making assumptions about the currency's descent that proved too conservative.

Now the tailwind is fading. Companies in the Nikkei 225 Stock Average that provide forecasts see the yen at 119.76 per dollar, going by data compiled by Bloomberg from their latest filings. The gap between the estimates and the rate at Sept 30 was the...

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