I'll tell you why:
Number One Reason:
- Japan raised interest rates from 0% to .5% thanks to that jerk Fukui back in 2005 and 2007. This disrupted the carry trade that funded low inflation across the board. When that pig did that, everything has collapsed. He and his 10 member Bank of Japan band of samurai theives did that. Talk about white collar greed, it was them during the Greenspan Years.
OTHER REASONS (now)
- PM Aso, no one likes him. He reads too much manga and those Japanese that read manga, have no money. Japan outsources 90% of their animation industry and that's hitting hard with people hoarding their money like never before. In other words, Aso comes in, Japanese consumers in any market of business are not spending money.
- Yen collapsing with the Central Bank doing nothing, headed now by Nakamura. Japan is an export country and cannot survive when the Yen is 102, so imagine it's survival at 85 yen to the dollar. COLLAPSE!!
- World Markets collapsing and lowering interest rates across the board, while the Fukui .5% remains.
- Japan is 100% an oil importer. Markets collapse, oil is still too high, with the cost to transport it still at $100.00 a barrel levels.
- Denial of foreign investments and laws against foreigners while they compete with China (which is more opened to foreigners as a whole, including Hong Kong). Only Clinton hit Japan hard with 100% tarrifs on imported cars and the Japanese quickly capitulated. Japan is a country of the worst racists known, even if their women are so sexy.
- Japan's banks are all about to collapse. They are in 3 times as much debt as the USA. They don't tell you that.
- Airlines, across the board to Japan are charging premiums of 100% in airfare. This has a major impact on all futures dealing with business. This is absolutley true.
As for the Hong Kong Heng Seng, that collapse is from a high 33,000. Most of that collapse is Chinese money being divested out of the market as mainland Chinese, able to travel to the autonomous zones, have been limited. Additionally, Hong Kong is having a commercial real-estate devaluation and are now in a recession. Hong Kong (and Macau) pegs with the USD. Expect the Chinese Yuan to get weaker during Obama.
The Clinton years of great relationships with Japan, carried into Bush Jr., but deteriorated since. America is going into a protectionism mode.
KING KENNEDY
