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To: April Lexington

In order to raise capital for Japan they have to acquire yen by selling U.S. Bonds. This is the equivilant to “buying” Yen with the U.S. Denominated Bonds. This demand for Yen causes the price to rise in general and specificially against the Dollars they are selling (via Dollar Denominated Bonds.)


18 posted on 03/17/2011 7:58:09 PM PDT by scannell
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To: scannell
In order to raise capital for Japan they have to acquire yen by selling U.S. Bonds.

If Japan dumps bonds em mass, our interest rates would soar. I'm not seeing that today in the market.

26 posted on 03/18/2011 6:00:16 AM PDT by April Lexington (Study the Constitution so you know what they are taking away!)
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To: scannell
In order to raise capital for Japan they have to acquire yen by selling U.S. Bonds

Maybe they are only dumping Euro bonds today. Where is the uptick in interest rates from a massive bond dump? I'm not seeing it on my screen.

28 posted on 03/18/2011 6:03:17 AM PDT by April Lexington (Study the Constitution so you know what they are taking away!)
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