1.   A higher yen reduces the yen value of profits repatriated to Japan.

2.   A falling yen can reduce the allure of Japanese stocks, already battered by economic malaise in Asia and concern that more banks and securities firms may go under.

3.   A falling yen reduces any profits when they are translated back into U.S. dollars.

4.   A rising yen reduces the amount of profit when an overseas investment is repatriated.

5.   A strong yen reduces the incentive for investors to seek higher yielding investments overseas.

6.   A stronger yen reduces the price of imports to Japan.

7.   A weaker yen reduces pressure on Japanese exporters to raise prices overseas.

8.   A stronger yen reduces the value of dollar-denominated profits earned in overseas markets.

9.   A weaker yen reduces the appeal of Japanese bonds to foreign investors.

10.   A weaker yen reduces the attraction of yen-denominated debt by diminishing the returns to investors who change their proceeds into stronger currencies.