Japanese yen hits 27-month low against US dollar
Excellent move by Abe. We are now at the Keynesian (PBUH) end game. Only problem is that it won't cause inflation, deflation will carry on its merry way. As Korea sees its export being threatened by the weaker Yen, it too will weaken its currency. As will China then India and the S.E. Asian Tigers. Then onto to Europe and then to...
This will make the Fiscal Cliff look like a blip on the road. Think Coyote Fall.
The Japanese yen has dipped to a 27-month low against the US dollar amid speculation that policymakers will take steps to weaken the currency.
It was trading close to 85.84 yen against the US dollar in early Asian trade, the lowest since September 2010.
Japan's new Prime Minister Shinzo Abe has promised steps to weaken the yen to help revive Japan's sluggish economy.
He has even suggested that Japan's central bank should print "unlimited yen" to help stoke inflation.
Posted by: tipper 2012-12-27