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US Imports Most Deflation From Japan Since 2010
Two months ago, when looking at the US Import Price Index (by origin), we showed Where The US Is Importing All The "Evil" Deflation From. The answer, courtesy of Abenomics, was simple: Japan. Earlier today we got further evidence that while the Fed is banging its head over how to halt America's deflationary spiral further away from the Fed's 2% target (at least as measured by the BLS), what it should do - if it really cares - is get on the phone with Abe and tell him to end Abenomics and Japan's unprecedented exporting of deflation (and importing of inflation).
As the chart below shows, with a read of 98.4 for November, the "imported deflation" from Japan is the most since 2010.
And for those curious, the Fed will never actually tell Abe to halt Abenomics because the only thing that is levitating the US stock market (and Nikkei as well) right now, in the absence of sizable ECB QE, even if it means record corporate bankruptcies in Japan, is Abenomics itself.
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The world gives us all this shit at lower and lower prices. Meanwhile we're just paying them in dollars, which we poof out of thin air at no cost. Then they take those dollars and re-invest them back into our country.
Could we possibly have this more rigged in our favor? I'm really not sure we could improve on this, even with all our exceptionalism and stuff.
Congress can't buy penis pumps with Medicare anymore, so deflation is to be expected.
US Imports Most Deflation From Japan Since 2010
Damn.....that hit almost instantly......I thought we had more time.
I'm on hold to Belgium......come on dammit......pick up.
http://en.wikipedia.org/wiki/Triffin_dilemma
"this agression will not stand, man"
How much longer until the other countries get tires of japan trying to export their deflation and start firing up the printing presses in response? debtor nations cant have deflation, and most western countries are awash in debt. let the competitive devaluations begin
virtuous cycle, huzzah
Well the US will simply have to hope China buys Yen
import us food. the non radio-active kind
I fucking hate it when prices go down. If as consumers we can't be confident that prices will go up by 2% each year then we are fucking lost. Govt reports say so.
We need to move to an even bigger shithole country where we can rest assured we will be more fucked than we are in the USA.
Anything to keep the production lines moving.
Stay long anything having to do with natural gas no matter how stupid or ridiculous.
i've been waiting for the fed mechanism that would fill the gap with moar trillions of brand new dollars but they haven't. this is their game. a strong dollar used to mean overseas investment that returned wealth to the usa. who has all the money this time? a strong yuan(tied to the dollar) means overseas investment for china. if china starts investing all its excess yuan all over the world(50s-60s usa) the paradigm is being officially swapped from the west to to the east, from the dollar to the yuan, to the new largest economy in the world.
No honor among central banks, apparently.
When thieves fall out Dear Henry's Trilateral collapses. Its every man for himself on the Titanic.
What we see in Syrac is the expression of Saudi Oil monarchy "doing their thing"; we see the same with Japan's devaluation of the Yen; we see the same with Mutti's Nein Nein Nein, confusing Draghi's desire to print another trillion in QE. Oh the deflation blues...
Some tug of war going on, now moving to DC in the aftermath of red blue finger pointing war in the making; on the Terror report, as sweetner to Obamacare bashing and its potential ability to start a new civil war between Dixie and Feds (or rich and poor).
When was last time that they did the great splits on a Broadway revue ?
WHere is the unsinkable Molly Brown ? (probably with Captain Nemo, deep down under, living it up on the Nautillus in Atlantis! Was Nemo into sending selfies in the nude to every dude up above about his gal who was totally paranoid about his penis ? Sounds very Sony hacked to me! )