John Ward April 5, 2013 Uncategorized

BREAKING…Japan: Land of the Falling Yen

Yen hits 100 to the Dollar

The Yen went from 92.6 to 98 per US Dollar yesterday. Overnight it moved from 98 to 100.That was the nice round figure as of 08.40 BST today, Friday: and is, I understand, the BOJ’s target.

Clearly, the threat of thermo-nuclear conflict is good for exports.

First thing today, the Swiss Central Bank reacted, and piled in to ensure the SF lost 1.16 centimes against the falling Yen.

It’s a zero sum game, but these blokes are desperate.

Overnight, the Swiss Franc has lost 1.16 centimes against it.

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1

Faz on April 20, 2013 at 6:18 pm

Given what Kyle Bass explains here http://bit.ly/13Cqs6Z They are going to need to be pretty amazing to survive what’s coming.

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2

John Ward – Analysis : Why We Should Ignore The HBOS Three: They’re Simple Plonkers, Not Bankers | My Light Warrior "OPPT-IN" on April 5, 2013 at 6:51 pm

[…] Earlier at The Slog: The Land of the Falling Yen […]

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3

John Ward – Analysis : Why We Should Ignore The HBOS Three: They’re Simple Plonkers, Not Bankers – 5 April 2013 | Lucas 2012 Infos on April 5, 2013 at 6:22 pm

[…] Earlier at The Slog: The Land of the Falling Yen […]

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4

Bill Casso on April 5, 2013 at 3:07 pm

Never underestimate the Japanese they are an amazing people. I could go on and bore you with my personal experiences in Japan but I won’t.
They won’t be left behind and they will do what is necessary to stay competitive in the world ecomomy.

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5

Whoflungdung on April 5, 2013 at 2:01 pm

This may help….or not!

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6

ryckki on April 5, 2013 at 1:46 pm

This is the grand beginning of currency wars of the 1930s sort.

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7

John Ward – Breaking – Japan: Land Of The Falling Yen – Yen Hits 100 To The Dollar | My Light Warrior "OPPT-IN" on April 5, 2013 at 1:29 pm

[…] https://hat4uk.wordpress.com/2013/04/05/breaking-japan-land-of-the-falling-yen/ […]

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8

Ian W on April 5, 2013 at 12:10 pm

The problem with people who just play with money and finance is that they forget that money is just something that represents created wealth. Instead of trying to obtain money from all the country’s citizens in taxes a government should encourage their citizens to create something useful that can be sold outside the country creating wealth. Much of this encouragement can be done by removing over-regulation which costs nothing. Any regulation should only be put in place if it increases or has no effect on wealth. If the creator(s) of the regulation put it in place and it decreases the country’s wealth for no good reason (no cost benefit) then those regulators should be removed from their jobs. This concentrates the minds of bureaucrats and may make them think a little deeper before imposing another regulation. It should also be made very plain to the country’s tax men that no tax is received from a bankrupt business and it is their job to maximize tax returns so a bankrupt failed business is a failure for the tax man too and the tax office remuneration and head count will be adjusted accordingly. While on taxes – simplify them. A simple flat tax system can be described quite fulsomely on one page of A4. There are no loopholes, no clever social engineering and most of all no need for huge amount of unproductive non-wealth creating time spent employing parasitic bureaucrats.
Change the focus -it is not playing with the currency it is creating wealth that matters.

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9

Harold Rosario on April 5, 2013 at 11:47 am

What Japan is currently trying to do convinces me that I clearly don’t understand finance. The government with the help of the central bank is trying to establish an inflation rate of at least 2% p.a. while maintaining a 10 year bond rate below 0.5% p.a. (that’s right, below 0.5%) because the government, which is already borrowing 56% of its annual budget outlay, cannot afford higher interest rates on it’s pile of debt.
Maybe my education has been for naught and there is a ‘Magic Pudding’ a.k.a ‘The Central Bank’, but then again…..

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10

oldasiahand on April 5, 2013 at 11:38 am

It’s every man for himself on the Titanic!

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11

ilovelondonontario on April 5, 2013 at 11:04 am

This looks bad to me. I think these bankers may have made a mistake

RVNewsToday@icloud.com

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12

Robin Banks on April 5, 2013 at 11:00 am

http://www.zerohedge.com/news/2013-04-05/it-beginning-biggest-jgb-price-collapse-over-10-years-triggers-tse-circuit-breakers

I think Kyle Bass is right in that increasing inflation will mean investors will require a much higher yield to hold JGBs. That’s when the debt interest payments become unsustainable and all this goes breasts up. UK a certain candidate.

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13

The Great North Road (@GreatNorthRoade) on April 5, 2013 at 10:57 am

Mr Metwetwe,
Thankyou for your insight. Sadly your re-reading of the morning newspapers won’t help you here. That you cannot understand the things I speak of only speaks of your own inabilities, not mine.

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14

The Great North Road (@GreatNorthRoade) on April 5, 2013 at 10:53 am

Mr Metwetwe,
Thankyou for your insights. Sadly your re-reading of the morning newspapers won’t help you here. That you cannot understand the things I speak of only speaks of your own inabilities, not mine.

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15

Professor Metwetwe jnr on April 5, 2013 at 10:35 am

@ GNR
Madam,
You are clearly right out of your depth again on this subject.
You would do well to read Kyle Bass who has the most incisive take on Japan today. It is not recommended that you pretend to be an authority, or even have a view on something that you clearly no nothing about.
Have you thought about returning to college…..? I understand that the Dutch government is encouraging mature unemployed to re train and therefore reduce the welfare budget which is also rising faster than the UK.

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16

desideriuserasmus on April 5, 2013 at 10:32 am

Chinese – not Japanese:
Japan is the only likely Nuclear target for NK,
under the guise of “historic vengeance”
thus sub-serving Chinese interests by means
of unfolding the Japanese economic empire
of industry and imports which is dense around south-east Asia
e.g. Philippines, Indonesia, Thailand, Vietnam.
This would ‘finish the job’ started with the Fukushima Daiichi atrocity.
China needs an exports boost these days, doesn’t it?
Apropos, “lots of natural resources in North Korea” said Jim Rogers:
1. http://www.forbes.com/sites/steveforbes/2012/05/10/legendary-jim-rogers-brokers-going-broke-farmers-will-become-rich-very-rich/3/
2. http://dealbreaker.com/2013/04/when-north-korea-collapses-jim-rogers-will-have-a-stranglehold-on-the-dprk-commemorative-coin-market/
3. http://www.foxnews.com/politics/2013/04/01/china-mobilizing-troops-jets-near-n-korean-border/
4. http://www.zerohedge.com/news/2013-04-03/two-north-korean-submarines-disappeared
Let’s hope it is all resolved peacefully.

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17

Maria das Santos on April 5, 2013 at 10:03 am

Even if that means really irritating the Chinese,their current largest trading partner,or is this a policy encouraged by China herself?

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18

Maria das Santos on April 5, 2013 at 10:01 am

Where do you anticipate the inflation will emerge,China?Do you think China will retaliate,as of recent actions,by being more directly belligerent as their economy,,from what others have said,is under severe stress,which seems to be supported by energy use and copper price?

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19

oldasiahand on April 5, 2013 at 9:39 am

I know the new Guvnor personally. He is a compelling figure and not cut from the same cloth as his predecessors. He will do his darndest to achieve his goal although whether the rest of the Japanese body politic will cooperate is far from certain.

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20

bill40 on April 5, 2013 at 9:10 am

Japan is going to nail two neo liberal myths in one go. First of all the ludicrous “quantity of money” theory will be utterly disproven once and for all, and second, artificially creating a shortage of money is really stupid.

All currency issuing nations should make sure there is enough money in the system to compete for. I rather suspect Japan will export more inflation than it creates.

If this leads to all nations, especially the EU, modifying their policies japan has done a lot of good.

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21

ANALYSIS: Why we should ignore the HBOS Three: | The Slog. 3-D bollocks deconstruction on April 5, 2013 at 9:07 am

[…] ← BREAKING…Japan: Land of the Falling Yen April 5, 2013 · 9:07 am ↓ Jump to Comments […]

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22

The Great North Road (@GreatNorthRoade) on April 5, 2013 at 8:46 am

You are forgetting that the Japanese are cleverer than you are.

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23

lady in red 3951 on April 5, 2013 at 8:37 am

@ Great Nonsense

Just check one simple statistic:
The size and ratio of debt to size of economy between USA and Japan.
The answer proves you WRONG AGAIN.
Your impertinent ignorance is breath taking and very amusing….

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24

The Great North Road (@GreatNorthRoade) on April 5, 2013 at 8:34 am

For those countries who have let their economies slip in the last decades, it will be nasty.

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25

The Great North Road (@GreatNorthRoade) on April 5, 2013 at 8:33 am

The expected statements from poseurs who know little about Japan’s economy. There are things that I know – and have first hand from Japan that you do not know. That is my advantage, and not yours.

As a strange corollary, the US debt mountain is as nasty – and they don’t have the industrial/economic foundation to deal with it. Japan’s decisive move will do little to help the US out of this problematic situation.

Your inability to grasp the elements of Japan’s strategy is made clear from your believing what you read in your newspaper each morning. That is why you will continue to Troll along with the remains of the trio and not lead with sensible, cohesive comments.

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26

John Moar on April 5, 2013 at 8:30 am

Thanks for that.Possibly the Chinese “interesting times” today and next week over competitive devaluations and,consequently,increased international stresses. How will it end?

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27

John Ward – Breaking – Japan: Land Of The Falling Yen – Yen Hits 100 To The Dollar – 5 April 2013 | Lucas 2012 Infos on April 5, 2013 at 8:19 am

[…] http://www.hat4uk.wordpress.com / link to original article […]

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28

lady in red 3951 on April 5, 2013 at 8:17 am

@ Great Nonsense

No, no, no and no.
Japanese debt currently represents over 200% of GDP.
Plenty of information and easy to understand videos on internet.

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29

Purpleline on April 5, 2013 at 8:00 am

Where you getting your FX rates from?

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30

The Great North Road (@GreatNorthRoade) on April 5, 2013 at 7:57 am

To be honest, the Bank of Japan is playing a nasty game. Devaluing a currency will work wonders if you have a relatively strong economy and industry.

The problem is that the US wants a weaker dollar to stimulate their economy. Japan’s action isn’t going to help them, especially when many US industries rely on Japanese technology – especially the motor industry*. After all, a substantial proportion of the Boeing 787 is now made in Japan.

It’s not the Japanese who are desperate here. It is not a nice thing to do, but war never is.

(*That’s also true of Europe’s car/vehicle industries).

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