Bank of Japan to Pump $1.4 Trillion Into Economy

[don]

Re: Bank of Japan to Pump $1.4 Trillion Into Economy

I agree generally. But isn't it serving China's interests far better as a distraction than the others?

North Korea is an on-call distraction, whenever the US and China wants one.

[don]

Re: Bank of Japan to Pump $1.4 Trillion Into Economy

[GRG55]

Re: Bank of Japan to Pump $1.4 Trillion Into Economy

The boyz are in the smoke-filled back room negotiating who gets to go next...



G-7 Signals Acceptance of Yen’s Drop for Now as Japan Debated


By Andy Sharp & Rainer Buergin - May 11, 2013 5:00 PM MT

Group of Seven finance chiefs signaled tolerance of the yen’s slide to its weakest since 2008, so long as it doesn’t get out of hand.


G-7 finance ministers and central bankers reaffirmed their February commitment to “not target exchange rates” at a meeting in Aylesbury, near London, U.K. Chancellor of the Exchequer George Osborne told reporters yesterday.


“The G-7 is inclined to endorse Japanese monetary policy as long as policy makers are not overtly” pursuing a cheaper yen, said Izumi Devalier, an economist at HSBC Holdings Plc in Hong Kong.


While indicating acceptance of the yen’s decline through 100 per dollar, policy makers said Japan’s recovery program was a key focus of their talks and that they will monitor the currency’s performance. The yen has fallen 15 percent against the dollar this year and 13 percent versus the euro as the Bank of Japan stepped up monetary stimulus...

[Thailandnotes]

Re: Bank of Japan to Pump $1.4 Trillion Into Economy

Bloomberg......

"Beyond Fundamentals"

"The Bank of Japan said April 4 it would buy 7.5 trillion yen ($76 billion) of bonds per month. BOJ board member Ryuzo Miyao said April 18 that he expects investors based in the world’s third-largest economy to buy more foreign debt. The baht has strengthened 6.8 percent against the dollar this year, the most among Asia’s 11 most-traded currencies.

“The amount of inflows into Thai bonds is so big, while there is growing speculation Japanese investors will send more money abroad,” said Shigehisa Shiroki, chief trader on the Asian and emerging-markets team at Mizuho Corporate Bank Ltd. in Tokyo. “An economic recovery in Japan due to these policies will also help Thailand, as Japan is one of its major export destinations.”

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Yesterday I bought a ticket - Chiang Mai to D.C., Same airline, same dates as last year. Up 20 % in US $, up 10% in Thai baht. I expect many currencies will take a wild ride in the next 12 months.

A bowl of noodles is way up.