Two words on the strengthening yen. During the nineties, the Japanese economy came to Uncle Kirdyk. Together with a He brought a fall in house prices by 90%, falling to 60-80% of funds and hypochondria in the minds of all dzhepov. The Japanese government, what would in any way then confront the evil uncle and not to drive the country into srednivekove start handing out unlimited loans with almost zero rate of 0.25%. Very Gut! FOR THESE TO LOANS AND KERRY went to play! What is happening – everything goes to hell, and so Japanese money no place for a profitable investment. Is massive demand for yen to repay loans.
Users ‘second wave’ sees the strengthening of the yen and no longer want to borrow in the currency is going up rapidly. Consequently, the yen is not added and this lady becomes scarce. That is why observed svarachivanie curry. That is why the yen is growing in sync with the widespread drop in funds. That’s the whole secret.
Such a mutual responsibility. You ask – but why buck the rise? And because such a direction of motion asked banking establishment. Above I spoke about the 2 options. Likely to choose the second option. Furthermore dubbed the phenomena (the adoption support program and the war in the Caucasus) arose CRISIS OF CONFIDENCE (not to be confused with a liquidity crisis). The essence of this. Now almost all the banks, hedge funds, etc. any ‘cash gaps’ due to falling funds and financial institutions DO NOT WANT to lend to each other. See. Bucks in the U.S. economy tens of times smaller than those nominated in the most bucks toilet rolls. When falling funds (and others like it derivatives), people go into the cache. They want to throw a paper cash grinbeki. And they absolutely do not have enough. Those who hold the money in the cache unwilling to lend to anybody, therefore, there is a shortage of liquidity. Now, if in short – it looks so. Now a little about what to expect. It all depends on the will of mega bankers. If, indeed, they want to revalue the green, then Jews should look to 1.31 + / -, and, in the case of such a scenario, further 1.18/1.20. A pound just begs the target zone of 1.7150 + / – (the 1.57). Euro-yen minimum goal range already working off a breakthrough close – it’s 141. Next – airless space. Here everything will depend on the dollar-yen (as voiced by the above reasons, what does all of the demand will be higher). According to my benchmarks bearish sentiment on the course will prevail.