Over the past 30 years, the Japanese yen moved beyond USD/JPY 155 for the first time, potentially prompting Japan to intervene in the market. Despite the Bank of Japan ending its negative interest rate policy last month, interest rates remain close to zero after the rate hike.Are there any money-making opportunities? “Mrs. Watanabe,” referring to Japanese housewives who speculate in the forex market, profit from fluctuations in the yen exchange rate. Mrs. Watanabe borrows low-interest yen and invests in high-yield foreign bonds or forex deposits, capturing interest rate differentials. When anticipating possible intervention by BOJ, Mrs. Watanabe takes a short position in USD. Would you, like Mrs. Watanabe, try to make money from forex? The decline in the yen is also positive for the Japane

Japan is gradually moving out of deflation, mainly due to external shocks such as Covid-19 and Ukrainian War, rather than the internal "Abenomics." The main reasons why "Abenomics" failed to achieve inflation are the tight fiscal policy and the failure to address labor shortages.The growth of salaries in Japan in 2024 may once again see a significant increase, and it is expected that Japan's inflation will be around 2.0-2.5% in 2024. In the long run, given the shortage of domestic labor supply in Japan and the changes in the international trade pattern, it is believed that Japan may completely get out of deflation.Today, the Japanese economy may have emerged from the "Lost 30 Years", and the future may face an important turning point. During 2021-2023, Japan's economy grew above potential

In the history, the Bank of Japan has often been ambiguous in its attitude towards policy shifts, allowing the market to digest expectations on its own but without providing a clear timetable. Policy shifts are often "unexpected yet reasonable." $Japanese Yen - Mar 2024(JPY2403)$ $Japanese Yen - main 2406(JPYmain)$ $iShares MSCI Japan ETF(EWJ)$ The long-term loose policy has led to the monetization of the fiscal deficit, distortion of government bond prices, and depreciation of the yen. In recent years, as the growth momentum of the Japanese economy gradually recovers and inflation levels warm up, the subjective and objective conditions for the Bank of J

Japan's Nikkei 225 index reaches all-time high, closing above 39,000 for the first time after 34 years, driven by chip-related stocks in a powerful 2024 rally.The Nikkei has risen 17.5% since the start of the year, making it the world’s best-performing major index, as a falling yen lures foreign investors.Traders celebrate with standing ovations and cheers. $iShares MSCI Japan ETF(EWJ)$ $Japanese Yen - main 2403(JPYmain)$ $ProShares Ultra MSCI Japan(EZJ)$ $iShares MSCI Japan Value ETF(EWJV)$ $iShares Currency Hedged MSCI Japan ETF(HEWJ)$

How do overseas investors invest in the Japanese market?The Japanese stock market is strengthening due to several comprehensive factors: long-term maintenance of low interest rates, stimulating the economy and increasing domestic demand and investment at the corporate level, and reducing financing costs at the stock market level. Japanese financial conglomerates, similar to the "Big Seven" in the US stock market, also play an important role in the secondary market, with relatively low valuation and high dividends, supporting the inflow of funds.1, Broad Market ETFs and futuresIn addition to the Nikkei ETF, Japan's major national ETFs, Nikkei 225: $Japan ETF-iShares MSCI (EWJ) $$Franklin FTSE Japan ETF (FLJP) $

US, Japan, and the European Central Bank meetingsThe US dollar index continued to decline in December 2023, dropping over 2% on top of the nearly 3% fall in November. $USD Index(USDindex.FOREX)$ $Invesco DB US Dollar Index Bullish Fund(UUP)$ The unexpected shift in the December Fed meeting was a significant factor in the dollar's weakness. Fed Chair Powell, in the press conference following the meeting, abandoned the previous "higher for longer" rhetoric and hinted that rate cuts could begin before inflation returns to 2%. These changes caused the market to reevaluate the timing and extent of Fed rate cuts. In December, US bond yields further significantly declined, driving up risk assets. The do

Central bank's monetary policy can have an impact on the U.S. stock market. By adjusting interest rates and printing money, the central bank can influence the money supply and economic activity, potentially affecting investors' decisions and thus impacting the stock market's performance.We have observed recent actions by the central bank, providing guidance to investors. The Federal ReserveThe July FOMC meeting of the Federal Reserve aligned with market expectations, raising interest rates by 25 basis points to 5.25-5.5%. The June dot plot indicated two more rate hikes within the year, one of which was implemented in July. However, even Fed Chairman Powell remained ambiguous about the timing of the final rate hike, stating that it would depend on data and circumstances.We believe that sinc

March non-farm payroll（NFP）will be released tomorrow April 7th, but the US stock market will not open on that day due to Good Friday. This holiday rarely falls on the first Friday of April, with less than 10 occurrences in the past 1000 years.Why March NFP report is extremely important? With the expectation of a recession, the unemployment rate in March may be higher than expected. Based on the JOLTS data released on April 4th and ADP employment data released on April 5th, there is a high probability that employment in March will be lower than expected. Although there may be differences between ADP and non-farm payroll data due to statistical methods, when even supply-side indicators such as job offers show a decline below expectations, the problem becomes serious.United States Job Opening

US stock investors often neglect a pivotal but quiet influencer, Bank of Japan.I mean, the appreciation of Yen could influence US Equity assets by,The Bank of Japan adopts easing monetary policy for long time, and Japan's interest rate has remained at an extremely low position for a long time;At present, Japan's inflation is far lower than that of the United States, and there may be inflation difference in infighting for a certain period of time, and the yen has appreciation pressure;As a safe-haven currency, the yen is easier to appreciate in the current environment, while the US dollar depreciates;When the US dollar depreciates, investors will need to look for risk-on assets (such as US stocks).Although the Japanese ye

The Bank of Japan unexpectedly "raised interest rates" on Tuesday. Technically speaking, "rate hike" is not very accurate, but the effect is similar to that of a "rate hike": Japanese stocks fell, the yen rose and Japanese interest rates rose.The Bank of Japan's decision at the end of the year was still very shocking to the capital markets, but the degree of shock was different. The Nikkei index fell 2.4%, the yen rose 3.1%, obviously, the yen was more affected by the central bank's decision.When it comes to raising interest rates, the customary idea should be to "curb inflation", but the Bank of Japan is not doing it for inflation.The main reason the Bank of Japan adjusted yield curve controls to allow long-term interest rates to rise even more is... “The functioning of bond mar

Ten years ago, a Japanese with 10,000 yen could buy a $132 product in the United States, now a product of only $71. Conversely, Japan has become cheaper and cheaper for tourists. Ten years ago, you only got 100 yen for a euro, now it’s 145 (100 yen/141 US$). Until recently, tourists could not take advantage of this because the borders remained closed due to corona. Meanwhile, tourists are welcome again. In 2019, 32 million tourists came to Japan spending about 5 trillion yen. Next year, tourists in Japan are likely to spend 6.6 trillion yen. One of the successes of Abenomics is the annually-growing number of foreign tourists. Only corona briefly threw a spanner in the works. Instead of the planned 40 million tourists in 2020, it became 4 million. By 2030, the country is targeting 60 millio

Under most circumstances, equity investors are not sensitive to currencies, but since the second half of this year, almost all currencies in the world have depreciated to US dollars, which may "unexpectedly" affect the performance of Q3.Fed's interest rate increase is one reason, major economies except Japan (the Bank of Japan has adopted extensionary monetary policy) are actually following. Why their currencies still clapse?Russia-Ukraine crisis would be another reason, then why commodity currencies like Canadian dollar and Australian dollar can't get rid of the decline neither?Degree of depreciation of major currencies against the US dollar this yearThe pivotal reason&n

$Japanese Yen - main 2209(JPYmain)$ US Dollar weakening on my currency strength charts this morning after a long run of strength and finally Japanese Yen picking up strength. A good combination to put together using futures on Tiger Brokers? Buy JPYUSD?(See attachments)Current Opinion: BULLISHTargets & Risk Management....Bullish upsides: T1: 0.0078, T2: 0.0081, T3: 0.0088Bearish Downsides: T1 0.0072 T2 0.0068 T3: 0.0065Stops: Bullish 0.0075, Bearish 0.0077More analysis, education, ideas on my YouTube channel: https://www.youtube.com/c/TheStopHunter