Tags » BOJ

Gold May Rise LONG Before Inflation

The fact that inflation is well under control might seem a compelling bearish argument for gold. But gold has a tendency to anticipate inflation – and the lead time can be substantial. 84 more words

Notes From Underground: The Swiss Finally Realize They're the Ones Holding a Zero Hand

After the newest moves by the wily fox Mario Draghi last Thursday, NOTES raised the issue of what the Swiss National Bank would do in response to the negative vibes emanating from the guardians of the… 772 more words

Currency

Japan Fooling Itself With Yen Debasement

Higher profits for exporters. No more deflation. What a great deal this currency debasement is for Japan, right?

Wrong.

In the long-term, as the yen falls and exporters’ competitive position improves on the basis of price, their incentive to innovate and compete on the basis of quality decreases…along with the quality of their products. 75 more words

Why Is One Man's Debased Currency Another Man's Treasure?

Though the US dollar has been very strong lately, it seems important for us to keep in mind that though the dollar’s value is increasing, it’s increasing versus other currencies – multiple of which have been (and are being) debased via money creation (think UK, Japan…and perhaps soon the Eurozone). 75 more words

The JPY and some overnight developments...

The last development that I found interesting lately was certainly USDJPY breaking out of its 101 – 103 range on August 20. Despite US LT yields trending lower (10-year trading below 2.40%) and the BoJ showing no interest of increasing QE even though the economy printed dismal figures (except a strong CPI), the Yen has weakened by almost two figures in the past couple of weeks against the greenback and is now trading slightly below 105. 660 more words

Global Macro

Worlds Largest Pension Fund - Buying Japanese Stocks

The Nikkei has just moved 340 points higher on rumour that Yasuhisa Shiozaki ( who has been advocating for the GPIF to reduce allocation to domestic bonds ), may be appointed the Health Minister ( so what? 254 more words

Daily Forex Trading Posts

Risk-ON and US Dollar strength persist...

While tensions in Syria are still elevated with a second American ISIS fighter killed in a battle, Gazprom beginning accepting payment in Rubles and Chinese Yuan (via the ESPO – Eastern Siberia Pacific Ocean – pipeline), Ebola outbreak causing enormous damage to West African economies (economic growth expected to plunge by 4% in the region according to the African Development Bank), Argentina’s black market peso completely out of control tumbling to over 14 / USD (14.45 according to Argentine newspaper Ambito), French jobseekers surging to record high of 3.424 million (with PM Manuel Valls blaming the ECB to do more as QE was the solution to everything) and IMF head Christine Lagarde put under a formal probe for negligence in a corruption investigation… AUDJPY continues to climb and is now trading above the 97.00 level for the first time since June 2013 and the S&P500 closed above the 2,000 for the second time in history. 844 more words

Global Macro