In the context of the Yen market dynamics, what happens to the value of the Yen when there is an increase in demand for Japanese exports?

When there is an increase in demand for Japanese exports, the value of the Yen typically goes up. This happens because foreign buyers need to purchase Yen to pay for Japanese goods, which creates higher demand for the currency. As more people want the Yen, its value increases compared to other currencies. For example, if a lot of countries start buying cars from Japan, they will need to exchange their own money for Yen, pushing its value higher. So, the relationship between exports and currency value shows how demand can directly affect how much the Yen is worth.