Posted on 06/09/2013 7:20:53 AM PDT by blam
MAULDIN: I'm So Sure Japan Is Screwed That I'm Converting My Mortgage Into Yen
John Mauldin, Thoughts From The Frontline
June 9, 2013, 9:30 AM
Wikimedia Commons
Banzai! Banzai! Banzai!
I shot an Arrow into the air
It fell to earth I know not where….
- Henry Wadsworth Longfellow
As kids, not knowing that we were being politically incorrect on so many levels, we would shout “Geronimo!” when we were playing war or getting ready to do something reckless. (For those not familiar, Geronimo was a rather fearsome Apache chief who plagued Mexico and the American cavalry.) Sam Houston and his fellows cried, “Remember the Alamo!” as they rode down upon Santa Ana at San Jacinto. The British went to battle with “God Save the Queen [or King]!” Confederate soldiers took up the rebel yell as they charged live bullets and fixed bayonets. Every good war movie has its own memorable moment of the battle charge.
In Japan, the term Banzai! literally means “ten thousand years” and can be used to wish someone long life and happiness. But during World War II, “Banzai!” was shouted in battle. It was the Japanese equivalent of "Long live the king!" – but to soldiers on the other side it came to mean a suicidal, hell-for-leather attack.
If the central bankers of the world think they're hearing a battle cry of “Banzai!” from the lips of their Japanese brethren, they may not be far from wrong, because the Japanese are indeed on a mad charge to fight deflation at all costs. As with all good suicidal charges, at least in legend and lore, once the cry has gone up and the thundering charge has begun, there can be no turning back.
(snip)
(Excerpt) Read more at businessinsider.com ...
"What you need to understand here in Japan is that the crisis in Europe is over," he said. "And that we can work together, France and Japan, to open new doors for economic progress."
“....the crisis in Europe is over,”
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I wonder if that statement is as reality based as the words “it’s settled science” (as used to describe the imaginary Anthropogenic Global Warming)?
Jeez, I remember when words had actual meaning.
Don’t these fiat currencies, at least in the highly developed large economies, just follow each other to the printing press? If Japan prints more, the others will follow. Unless the US gets its act together, post 0-bama, with pro-growth policies, I don’t see how we will not follow Japan’s lead.
You could do this by shorting Japanese Bonds and using the proceeds to buy US Bonds. Carry trade with a vengeance.
I think I’d prefer to go short FXY (yen fund) myself, though.
I read somewhere last week that the US - GM would not allow/stand-for Toyota selling a $10,000 Camry in the US.
So....sparks are gonna fly?
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