OFF INTO THE WILD WET YONDER How does this...
If the goal of Japan Prime Minister Shinzo Abe was to print his way to a declining gross domestic product (GDP), well then break out the nihonshu because the party is kicking into high gear.
Tyler Durden over at ZeroHedge is reporting that Japan’s current account balance and GDP have both seen better days, particularly before “Abenomics” even began.
Charts don’t lie. With the current account balance showing its lowest on record, and the 2nd quarter miss in a row for the GDP, Abenomics’ bold initiative is starting to look like a hangover instead of a party.
The Japanese yen “melt upwards” appears to be doing more for U.S. stock markets than having any significant effect on the Japanese economy per se. Of course this could change the next quarter, but with Japanese retail investors looking at the United States and other major economies more strongly than their own, this doesn’t bode well for Abe and the “inflate away the pain” policies his government has enacted.