reply on: European Economic Downturn Ripples Through UK Employment Landscape \ stacker news ~econ

27 sats \ 6 replies \ @TomK OP 16 Apr \ parent \ on: European Economic Downturn Ripples Through UK Employment Landscape econ

you have to consider the coalition dynamics as background. the liberal party in Germany is facing parliamentary extinction because it is threatening to slip below the 5% mark. it is trying to draw attention to itself again with some crazy populism, just as it is now trying to enforce market economy rules again. Of course, all of this is nothing more than political frothing at the mouth.

41 sats \ 5 replies \ @siggy47 16 Apr

I'm going to change subjects again. Do you see the yen? The BOJ has to do something. I was listening to a guy who thinks Japan will sell US treasuries, sending yields through the roof.

48 sats \ 1 reply \ @john_doe 16 Apr

I am not an economist or financial guy but last time I have heard of this kind of news in Japan, the rate JPY/USD dipped and then went back right after. My 2 cents.

37 sats \ 0 replies \ @TomK OP 16 Apr

yes, i also believe that a very precise intervention by the Japanese central bank will follow very soon. but much more interesting is the crash of the euro. we are all betting that this spook will come to an end one day

27 sats \ 2 replies \ @TomK OP 16 Apr

yes, i also believe that the intervention of the Japanese central bank is imminent. however, this always happens in the context of coordinated action together with the Federal Reserve. the recent interest rate spike in America and everywhere else is unsustainable for public finances in the medium term.

21 sats \ 1 reply \ @siggy47 16 Apr

So you think the BOJ will wait for the fed to do a rate cut? They import all their oil. How can they afford to keep doing this in a dollar denominated market?

27 sats \ 0 replies \ @TomK OP 16 Apr

the Bank of Japan will soon have to support the yen in order to prevent imported inflation, so much is clear. as far as the sell-off of US government bonds is concerned, I believe that there will continue to be sufficient foreign buyers for the securities. the eurozone in particular will do everything it can to defend the interest rate spread and ensure that it does not widen too far against the euro in order to prevent capital flight