Is the Bank of Japan drawing its first line of defense at the 160 mark? In view of the yen's sudden jump against the USD, this seems to be the case.
Either that or just a crazy short squeeze. Apparently it was getting pretty lopsided.
reply
Maybe they used the holiday and the low volume??
reply
I don't know. All seems quiet now on the US bind market.
reply
Maybe the ECB bought up the USTs??
reply
I don't know. Since you brought it up the other day I guess it's still possible that this move is coordinated. Markets worldwide seem quiet.
reply
Nearly too quite
reply
The fed is meeting this week. Perhaps a surprise, shocking rate cut comes on Wednesday? I honestly can't imagine that, but it certainly would seem like a coordinated move.
reply
Cutting into re-accelerating commodity prices... madre mía
Yes it is a very good moment to intervene. But they have not confirmed to be an intervention. They can only confirm it next month I think. It certainly looks like they did something, but they can do much more. They still don't like it above 150.
reply
Ten yen snack now 500 yen 😢
reply
This may be the case, but perhaps it's too early to tell, it may just be a momentary thing and continue to depreciate.
reply
Or the CBs are on a path to debase simultaneously??
reply
Just that is what I was thinking too, I think it's too early to say, but one thing I know for sure, Japan can't go on like this for long, a big crisis has to come to the country for its citizens to wake up, I don't know if most Japanese people are aware of their situation, with a strongly declining demographic, being the most indebted economy in the world and with salaries frozen for a very long time.
reply
They will force institutions to take the mass of newly issued bonds on their balance sheets to inflate the sh.t out of us
reply