Risks from fluctuations in foreign exchange rates, interest rates, commodity prices and share prices

「The estimated impact on current-period profit is approximately ¥1.9 billion per year if the yen moves by ¥1 against the US dollar, and approximately ¥600 million per year if it moves by ¥1 against the Australian dollar.」

「In bond markets, long-term interest rates rose amid persistent fiscal concerns in Japan, the US and Europe. The yen fluctuated due to monetary policy and political uncertainty in Japan and the US, but traded in a yen-stronger, US dollar-weaker range year on year as the Japan-US interest rate differential narrowed. Equity markets continued to trend upward overall in major countries and regions despite sharp fluctuations surrounding US tariff measures.」

「Impact on the pretax income of the Company and its consolidated subsidiaries if interest rates rise by 1%」

「In bond markets, interest rates declined in Europe and the US following rate cuts, while in Japan the 10-year bond yield temporarily rose above 1% following the July rate hike and other factors. The yen shifted toward appreciation against the US dollar in response to changes in monetary policy in Japan and the US, among other factors. Equity markets experienced sharp fluctuations amid concerns over a US recession and other factors, but generally remained on an upward trend in major countries and regions.」

「Interest rates rose in European and US bond markets as a result of monetary tightening by central banks. The yen depreciated against the US dollar. Equity markets, particularly in Japan, Europe and the US, continued to trade at higher levels than in the previous fiscal year.」

「In European and US bond markets, high interest rates continued amid expectations that central banks would maintain monetary tightening for longer, but declined after peaking in October. The yen depreciated against the US dollar, although the yen also strengthened toward year-end. Equity markets continued to trade at high levels compared with the previous fiscal year.」

「In European and US bond markets, interest rates continued to rise as expectations grew that central banks would maintain monetary tightening for longer, while the yen depreciated against the US dollar. In equity markets, the US and Japan remained firm and Europe was somewhat weak, although markets overall continued to trade at high levels compared with the previous fiscal year.」

「In European and US bond markets, interest rates continued to rise, particularly on short-term bonds, as expectations grew that central banks would maintain monetary tightening for longer. The yen depreciated against the US dollar. In equity markets, Japan rose sharply as expectations for an economic recovery strengthened, the US remained firm, and Europe was somewhat weak.」

「As many central banks around the world pursued monetary tightening to address high inflation, interest rates rose sharply in European and US bond markets, although the increases showed signs of pausing from November onward. In foreign exchange markets, the US dollar appreciated rapidly before turning toward depreciation as the rise in US interest rates paused.」

「As many central banks around the world pursued monetary tightening to address high inflation, interest rates rose sharply in European and US bond markets, while equity markets fell substantially. A global trend toward US dollar appreciation also became pronounced in foreign exchange markets.」

「As many central banks around the world pursued monetary tightening to address high inflation, interest rates rose sharply in European and US bond markets, while equity markets fell substantially, particularly in the US. The yen also depreciated sharply against the US dollar, reflecting differences in the direction of monetary policy in Japan and the US, among other factors.」

「As inflation became pronounced in many countries, major European and US economies and emerging markets broadly moved toward monetary policy normalization, including policy rate hikes.」

「Inflation became pronounced in many countries due to supply constraints for raw materials and intermediate goods and surging primary commodity prices. In addition to the US Federal Reserve Board (FRB) beginning to taper quantitative easing in November, emerging markets broadly moved toward monetary tightening, including policy rate hikes.」

「Long-term interest rates in the US rose sharply at times, partly because a September indication strongly suggested that normalization of US monetary policy would begin within the year. Until then, however, rates had remained relatively stable, while share prices were generally firm, particularly in Europe and the US.」

「Even as optimism about the economic outlook intersected with concerns that the US could begin withdrawing monetary easing sooner than expected as inflation accelerated, financial markets did not experience major disruption, and share prices remained firm, particularly in Europe and the US.」

「Following swift and large-scale fiscal and monetary policy measures, financial markets avoided turmoil and share prices rebounded, resulting in a divergence from the sharply weakened real economy.」

「Countries around the world implemented measures to prevent the spread of infection, including restrictions on movement. As a result, economic activity in each country was severely constrained, causing a sharp contraction in the global economy, turmoil in financial markets and declines in primary commodity prices.」

「Concerns about the outlook for the global economy increased amid economic slowdowns in developed countries and China, continued US-China trade friction, and prolonged negotiations over the UK's withdrawal from the EU. As a result, countries including the US moved to revise monetary policy in a more accommodative direction.」

「In the second half of the year, tighter international financial conditions in response to US policy, trade friction and changes in the situation in the Middle East became apparent, increasing uncertainty across the global economy, including financial market turbulence and a slowdown in the Chinese economy.」

「Meanwhile, as the US continued raising interest rates, sharp currency depreciations caused by capital outflows occurred particularly in countries with large current-account deficits or external debt balances, such as Turkey and Argentina. Other factors weighing on the economy also emerged, including an intensification of the US-China trade war.」

「Meanwhile, as the US raised interest rates, currencies depreciated due to capital outflows, particularly in countries with current-account deficits, such as Argentina and Turkey.」

「As the Company and its consolidated subsidiaries conduct business activities in various countries, including Japan, they may be affected by interest rate risk, foreign exchange risk, credit risk, commodity price risk, liquidity risk and share price fluctuation risk, as described below.」

「In response, the US Federal Reserve Board (FRB) continued raising interest rates and began reducing its holdings of assets.」

「In response, the US Federal Reserve Board (FRB) continued raising interest rates and began reducing its holdings of assets.」

「As the Company and its consolidated subsidiaries conduct business activities in various countries, including Japan, they may be affected by interest rate risk, foreign exchange risk, credit risk, commodity price risk, liquidity risk and share price fluctuation risk, as described below.」

「Financial markets became temporarily volatile following the UK referendum and the results of the US presidential election.」

「Although commodity markets, including crude oil, initially declined, they gradually settled. Financial markets also became temporarily volatile after the Leave campaign secured a majority in the UK referendum on EU membership, but subsequently stabilized overall.」

「Financial markets became volatile after the Leave campaign secured a majority in the UK referendum on EU membership.」

「As the Company and its consolidated subsidiaries conduct business activities in various countries, including Japan, they may be affected by interest rate risk, foreign exchange risk, credit risk, commodity price risk, liquidity risk and share price fluctuation risk, as described below.」