Numerous Rumors Of Imminent BOJ Intervention Drive USDJPY To 15 Year Low

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Tue, 08/24/2010 - 07:54 | 539659 newstreet
newstreet's picture

Everybody wants to catch the top, but who will?

Tue, 08/24/2010 - 07:56 | 539664 Turd Ferguson
Turd Ferguson's picture

Domo arigato, Mr. Roboto.

Tue, 08/24/2010 - 08:03 | 539674 duo
duo's picture

Isn't this a portent of the future when China moves their reserves to the yen or some other currency other than the USD?  If I was China, I'd rather have my reserves in a currency of a country a few hundred miles away with NO army or navy to speak of.

The Japanese won't like USD/JPY at 70 or less, but there is nothing they can do to stop it.

Tue, 08/24/2010 - 08:05 | 539678 MarketTruth
MarketTruth's picture

Paper FIAT currencies continue their race to the bottom. Proof that central banks do not care about how this hurts savers, and perhaps why gold is staying above $1200.

Tue, 08/24/2010 - 08:12 | 539688 Miles Kendig
Miles Kendig's picture

And Japan will fail to do as well as the Swiss have in their interventions.

Tue, 08/24/2010 - 08:12 | 539690 French Frog
French Frog's picture

The important part is "sudden currency moves"; at the moment we have a fairly orderly decline (90 pips intraday move doesn't mean much) and the BOJ will tolerate a strengthening Yen until this changes;

I fear loads of people will try to pick a bottom too early: i would attempt small long below 82, bearing in mind the 81.12 low in April 1995

Tue, 08/24/2010 - 08:22 | 539706 Tense INDIAN
Tense INDIAN's picture

i will recommend sell EUR/JPY

Tue, 08/24/2010 - 08:23 | 539709 Young
Young's picture

Implications for the Nikkei?

Tue, 08/24/2010 - 09:01 | 539825 mephisto
mephisto's picture

Gap down on the Nikkei open as invesors panic about the 8 handle on NKY and 83 handle on USDJPY. Then intervention rumours, very hard to say what happens after the first hour.

Tue, 08/24/2010 - 08:26 | 539715 Ivanovich
Ivanovich's picture

And USD/JPY just took a long stroll off a short pier.



Tue, 08/24/2010 - 08:33 | 539744 anvILL
anvILL's picture

The Japanese government don’t want to use their foreign reserves to intervene because if they did, their “kuchisaki-kainyu” (talk intervention) would not be as effective any more.
Even if they did intervene, I don’t think they would be able to reverse the trend.
And I think more people are starting to think like myself.

But the the chances for an intervention is certainly increasing and if it did intervene, watch out for 10%+ moves on a very short period of time.

Tue, 08/24/2010 - 09:29 | 539907 LePetomane
LePetomane's picture

Speaking of bonds,  unless you're holding to maturity, sooner or later, you can kiss junior's college tuition goodbye,

Tue, 08/24/2010 - 12:00 | 540450 Grand Supercycle
Grand Supercycle's picture

Updated S&P500 chart showing head and shoulders with target.

Fri, 10/01/2010 - 06:58 | 617721 Herry12
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