If the U.S. economy slows down, cars won't sell,
We're aware there are various evaluations regarding the stocks plunge this time around, and about the status of the Japanese economy, but the government will continue its efforts to completely break free of deflation and to transition to a growth-driven economy,
I'm actually prepared to dip my toe into the water and start buying Japan,
The exciting thing is that domestic business investment expenditure continues to grow, the unemployment rate in Japan will continue to fall unlike in the United States. … Japan is recession proof and sooner or later that's going to start to be reflected positively in capital markets here in Tokyo,
To put it mildly, the spike in volatility-of-volatility is a spectacle that underlines just how jittery markets have become,
Specifically, the scenario of higher unemployment constraining spending and further restraining hiring and incomes and economic activity leading to a recession is the feared scenario here,
It's hard to say what is behind the decline in stocks,
I think the U.S. economic slowdown worries were too much, but the market did turn nervous after the Bank of Japan's rate hike as they thought the domestic economy is not strong enough to justify the rate hike,
In short, not only the currency but the entire 'value' trade in Japan which had hijacked our market for two years is being unwound,
The rapid move in the yen is putting downward pressure on Japanese equities, but it's also driving an unwind of a major carry trade - investors had leveraged up by borrowing in yen to buy other assets, chiefly U.S. tech stocks,
I don’t think it’s a civilization-altering crash,
I think it’s a little bit unfair to blame the (U.S.) Fed for being late or behind the curve, because until recently a lot of people were thinking that the U.S. economy was still in reasonably good shape. And no one was really ringing the recession alarm bells,
Markets are in absolute turmoil this morning thanks to the Nikkei 225’s biggest one-day drop since 1987, which has wiped out the index’s gains for the year.”
Investor sentiment was down as the U.S. employment data for July came in lower than expected, raising fears that the U.S. economy is slowing more than expected,
The market was also weighed down by the yen's appreciation against the dollar and as expectations for exporters' upbeat financial results receded,
I think the dollar-yen will shift to the 140-145 zone because of the worse-than-expected non-farm payroll and Middle East tensions,
I think the market will be unstable till around October, but I would buy them back now because the fundamental factors that lifted the index to its peak have not changed,
Domestic equities tanked purely because of the worries that the US economy may be heading to a recession,
The question now is whether we keep selling stocks or buy them back,
The only reason why the Japanese market is up so strongly in the last two years is because the Japanese yen has been very, very weak. Once it reverses, you got to get out right and I think they're all getting out right now as a result of that,