Abenomics

Abenomics

Japan Is Booming! (Except It's Not)

"Japan is hot, really hot. Stocks are up to level not seen since 1996 (Nikkei 225). Prime Minister Shinzo Abe called snap elections in Parliament to secure a supermajority and it worked. Things seem to be sparkling all over the place, with the arrow pointing up... Only that isn’t real, just like it wasn’t three or seven years ago..."

World Stocks At All Time Highs After Nikkei's Record Winning Streak; Euro Slides With Spain On Edge

In an otherwise quiet session, Sunday's convincing election victory for Japanese Prime Minister Shinzo Abe’s ruling coalition, which gave it another constitution-changing supermajority, pushed the Nikkei to the highest level since 1996, after a record 15 consecutive days of gains - the longest winning streak on record - and sent world stocks to new all-time highs on Monday.

"Japan Has No Illusions That Rates Will Ever Rise": Is This What The Endgame Looks Like

"Whatever the policies, Japan has already tried them. Japan is far more advanced in fully monetizing its debt by utilizing multiple asset classes, from bonds to equities. It also accepts that normalization is not feasible, and unlike the Fed, it has no illusions that rates could ever rise or that deep labour market reforms are either possible or desirable."

The Divisive Fallacy Of Bubble Fortunes

"The world’s central banks have blown giant bubbles all over the place. That’s where the bulls’ 'fortunes' come from. They are bubble fortunes. It has nothing to do with being smart... there are no investors left to begin with, because you can’t be an investor if there are no functioning markets, and for a market to function you need price discovery. Which is exactly what central banks have killed."

Global Stocks Storm To New Record High Ahead Of Historic Fed Announcement

Last week's bullish sentiment that sent the S&P not only to a new all time highs, but a burst of last-second buying pushed above 2,500 for the first time ever, has carried through to the new week, with European and Asian shares rallying across the board, US futures again the green, and world stocks hitting a new record high on Monday ahead of a historic Fed meeting.

Is Amazon To Blame The Fed Can't Hit Its Inflation Target

While globalisation was the meme of the 2000s, this decade’s has to be the “Amazonisation” of commerce. Given the bulk of the cost of goods is distribution costs, Amazon’s unique distribution model and widening range of products could impart a new disinflationary impulse on goods prices.

Abe "Plunges Into Crisis" After LDP Suffers "Historic Defeat" In Tokyo Elections, USDJPY Slides

On Sunday Japanese PM Shinzo Abe’s Liberal Democratic Party suffered what Reuters called a "historic defeat" in the Tokyo assembly election, and "plunged into a crisis" after losing to an upstart outfit in an vote that is seen as a harbinger for Japan's national elections, and signaling trouble ahead for the premier who has suffered from slumping support after a series of political scandals.