What effect does an increase in demand for Japanese goods have on the value of the yen?

When there is an increase in demand for Japanese goods, more people around the world want to buy those products. This means they need to exchange their own currency for Japanese yen to make those purchases. As more people buy yen to pay for these goods, the demand for yen goes up. When demand for a currency increases, its value typically rises compared to other currencies. For example, if a lot of American consumers start buying Japanese electronics, the increased need for yen will likely make the yen stronger against the dollar.