Posts Tagged ‘ GROWTH ’

Japan exports improve most since 2010 over 10%

We seeing Abenomics arrow 1 & 2 having a huge effect on the exports.
That’s one full quarter of improving result , showing that the market is going right way .

Lets hope this continues .the big test will be the up and coming election , if Abe wins then we can see some proper structural changes , if he gets 2/3 majority we can see some constitutional changes !

The third arrow missed the target the first time hope his next aim is better

Japan exports improve most since 2010.

It has been three years since Japan enjoyed this level of exportation. In May, shipments shot up 10.1% from the previous year, marking the third consecutive month of improvement.

Shipment exports picked up in key markets such as the US, rising 16.3% from a year earlier, whilst shipments to China increased 8.3%.

A weaker Yen boosted exporters’ business in May, as it made Japanese goods cheaper overseas, thus increasing profits in an industry that Japan largely depends on.

Such positive date therefore boosts Prime Minister Shinzo Abe’s plan to revive the economy.

Morgan Stanley Analyst Shuji Tonouchi explained that the breakdown shows that export volumes are still a little weak, but demand from the United States is ‘doing well’. Overall, he added, “We can certainly say that exports are headed in the right direction”.

On the other hand, imports also rose by 10% in May from a year ago and therefore, the trade balance came to a deficit of 993.9bn yen. This marks the 11th straight month that Japan has posted a deficit, as energy import costs continue to be high after nuclear plants were shut down.

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Key Points from the BOJ Meeting

Key Points from the BOJ Meeting

  • Bank of Japan on Wednesday raised its estimate of the economy for the 5 consecutive month amid signs of the recovery is under way .
  • Monetary policy unchanged as it seeks to beat deflation and generate 2% inflation in two years .
  • BOJ board decided unanimously to maintain its policy of increasing the monetary base at annual pace of Y60 trillion to Y70 trillion.
  • Takahide Kiuchi proposed that the central bank’s inflation commitment be characterized as something to be implemented in “the medium to long term,” and that the current easing policy be seen as “as an intensive measure with a time frame of about two years.” But his proposal was voted down 8-1.
  • BOJ made no mention of the recent rises in Japan government bond yields that have unsettled market participants

Basically they have made the choice of policy last month , now they have to wait and see if the policy take effect .

Watch this space .

 

Tony Evans

Image

http://www.bloomberg.com/news/2013-05-22/boj-affirms-easing-plan-after-biggest-jump-in-yields-in-5-years.html

http://e.nikkei.com/e/fr/tnks/Nni20130522D22JF676.htm

 

Japan’s First Quarter GDP Rose Annual 3.5% vs Forecast 2.7% Rise

tokyo

tokyo

Japan’s First Quarter GDP Rose Annual 3.5% vs Forecast 2.7% Rise

ABENOMICS  1- OLD WAY 0 !

Japan’s economy grew more than analysts estimated in the first quarter as consumer
spending
and exports climbed.

The key factor is consumer spending s up , they key factor .A BOOMING  stock market is making consumers feel richer helping to fuel spending and growth in the world’s third-biggest economy.

Yen

The yen has weakened more than 16% against the USD and 14% against the € this year, the largest declines of the 16 major currencies. The Nikkei 225 Stock Average (NKY) rose 45% , more than twice the gain in the Standard & Poor’s 500 Index.

Japanese government bonds halted the biggest three-day slide in almost a decade yesterday after the central bank announced a 2.8 trillion yen infusion of funds. Benchmark 10-year yields traded at 0.85 percent yesterday after surging .

 

All good news , may it continue in Japan .

Tony Evans

From A booming Japan

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http://www.bloomberg.com/news/2013-05-15/japan-s-economy-grew-more-than-forecast-3-5-in-first-quarter.html

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