Japan May Or May Not Mint Quadrillion Yen Coins, But It Will Monetize European Debt
Just when we thought America would be alone in crossing into the montary twilight zone where so many Keynesian lunatics have gone before, and where trillion dollar platinum coins fall from the sky right onto the heads of all those who have not even the faintest understanding of money creation, here comes Japan:
- ASO: JAPAN TO BUY ESM BONDS
- ASO SAYS JAPAN TO BUY ESM BONDS USING FOREIGN EXCHANGE RESERVES
- ASO: ESM PURCHASES WILL HELP TO STABILIZE YEN
- JAPANESE FINANCE MINISTER ASO SPEAKS TO REPORTERS IN TOKYO
- ASO SAYS AMOUNT OF JAPAN’S ESM BOND BUYS UNDECIDED
For those who have forgotten, the E in ESM stands for European (the S for Stability), not Japanese (Stability). Otherwise it would be, er... well, JSM. Keynesian at that. But yes - Japan will now proceed to "stabilize" itself by monetizing European debt. Because its own JPY 1 quadrillion in debt was not enough.
As for a rehash of the old lunacy, which just like the OMT has driven the JPY much lower on nothing but innuendo and speculation, and will end the second the BOJ's plan is formalized, we get:
- ASO WANTS STATEMENT ON BOJ, GOVT COOPERATION
- AMARI SAYS GOVT, BOJ TO COOPERATE ON PRICE TARGET
Of course, when the latest and greatest "invention" out of the soon to be annexed 4th branch of Japanese government fails, and this time is not different after all, Japan will shock everyone when it unveils to the world...
- THE QUADRILLION YEN GLOW IN THE DARK COIN