Bank of Japan ready to declare war on deflation ???

Is the Bank of Japan ready to declare war on deflation ? I believe so , Kuroda said last week he would take aggressive action to stop deflation and to increase the growth of the economy .
I personally believe he will look at around $1billion a DAY ! At the moment the BOJ has plans for $1billion every 2 days starting next year ,
His comments last week gave us the impression he wants action now rather than later !

“It would be natural for the BOJ to buy longer-dated government bonds in huge amounts,” Kuroda said in a confirmation hearing in parliament .

I personally see no real change until the up and coming election has been won by Prime Minister Abe . Reason for this is that Japan have been sheltered from high energy price , commodity and food price and residents in JAPAN haven’t seen their bills increase as most other G8 countries .Weaker Yen means higher prices for consumer ( voters ) and that means no votes !

Kuroda has still not been confirmed as the new Bank of Japan governor but the markets have already taken this as a given , Nikkei goes up 2+/-% in a day.
A 1% increase means the Nikkei adds around $23billion !!!

I see Abe drawing up a battle plan for war , at the moment he is just appointing his “generals” , summer time I can see the full war!

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Tomorrow inspirational quote –

A great quote to remember:
Tomorrow, a mystical land where 99% of human productivity, motivation and achievement is stored

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Supporting Cancer Reaserch – Pink Ball Tokyo

I am pleased to support Run for Cure Japan Pink Ball 2013 .

This year’s gala is the Foundation’s 10th, and this will be the 4th time I am able to support this worthy cause .

‘The evening remains devoted to bringing together those in the community who share a commitment to fighting breast cancer as a life-threatening disease in Japan, and spearheading greater awareness, diagnosis and treatment among Japanese women of all ages – especially in medically underserved regions’

2013 Bink Ball Westin Japn

2013 Bink Ball Westin Japan

 

If you would like to donate please click on the blow link :

http://www.runforthecure.org/en/donate

‘We make a living by what we get, but we make a life by what we give’ Sir Winston Churchill

We make a living by what we get, but we make a life by what we give. Sir Winston Churchill Source: furk

We make a living by what we get, but we make a life by what we give. Sir Winston Churchill
Source: furk

Italy credit downgrade – uncertainty of election result

On Friday Fitch downgraded Italy’s sovereign debt rating by one notch to “BBB+” from “A-” , also stated the outlook is negative .

The problem is the election didn’t have a clear winner and as such no new Government could be formed .
One thing markets hate more than anything ells is uncertainty .With good reason Italy is the 8th largest economy by GDP in the world but is the 3 largest issuer of sovereign debt ! This year Italy has $414 billion in debt maturing and needing finance ! Thus the uncertainty will possibly increase interest rate it need to ay on its debt , diverting billions of much needed money from the economy to debt payment .Fitch noted it expected Italy public debt would peak at 130% of GDP increased from previous estimate of 125% . An extra $100 billion! The financial crisis has desensitised people of the magnitude of a billions ! The media talk today as its not a big thing !

Fitch noted that Italy’s ongoing recession “is one of the deepest in Europe,” and warned that “the increased political uncertainty and non-conducive backdrop for further structural reform measures constitute a further adverse shock to the real economy.”

Reminds me of quote by Adam Smith :
”It is the highest impertinence and presumption… in kings and ministers, to pretend to watch over the economy of private people, and to restrain their expense… They are themselves always, and without any exception, the greatest spendthrifts in the society. Let them look well after their own expense, and they may safely trust private people with theirs. If their own extravagance does not ruin the state, that of their subjects never will”

Tags : Europe , credit downgrade ,Fitch , GDP , Italy ,Election ,Adam Smith

Inspirational Quote by Thomas Edison

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“When you have exhausted all possibilities, remember this – you haven’t”

We need to remember that life give us a second chance called tomorrow , one only needs the courage to take it

Tags
#Thomas #Edison #quote # inspirational

The Yen – Currency War or just Growth ?

Prime Minister Abe has survived a meeting with US President Obama without having his policy criticised. ‘Abenomics’ is seen in Japan as a way of growing the economy not devaluing the currency, if the Yen weakens that’s a bi product. Prime Minister Abe appointed key people to lead the Bank of Japan Kuroda-sama as Governor, a person liked in Japan but also respected internationally, which is key if Japan is going to succeed.
The Yen has fluctuated at times quite widely between 90-95 Yen range over 5% swings.
Now it seems so much sentiment has been placed on ‘Abenomics’ what’s going to happen next??
At least now we have a clear plan for getting out of deflation environment and into a true inflation target.
On the other hand we have no evidence of structural change to accommodate this. Personally I still feel people are remembering the BOOM and aftermath of the last surge and slightly cautious from jumping in.
But I do feel there has been a huge shift in people minds and the attitude is ‘What if this all true? Can Japan go through another BOOM?

Let’s hope so, I look forward to seeing what happens .
Gambette Kudasai

Tags :#abenomics #abe #yen #japan

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