Real Crash - by Howard

We can avoid nuclear war by putting the financial system into bankruptcy reorganization.Need Glass-Steagall Act, water projects, space program. Need a change to production, the real American System.

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A (Japanese) Yen for Disaster

Yen for Disaster

[Source: Financial Times, ForexStreet.com 2-20-08] TURNING POINT ON THE YEN CARRY TRADE. The Bank of Japan will decide shortly, whether to raise its nominal discount

interest rate from 0.25%. Strong pressures on the Bank from London have included public statements from Bank of England Governor Melvyn King; a full-page {Financial Times} article on Feb. 20 arguing that Japan would never raise the rate ``in the teeth of [the threat of] deflation''; and a fall in the yen on currency markets on the eve of the decision, to near 20-year lows. The lower it goes, the more full-blast goes the speculative yen carry trade, which is now estimated to be pumping $250-300 billion a year of ``free money'' into the financial bubbles of the globalized world. This is faster even than the growth of
monetary aggregate M3 in the United States and Europe, although European M3 is officially expanding at over 9% annually, and one U.S. economist calculates that the (classified secret) U.S. M3 is now rising at an 11% annual rate.
After a public tongue-lashing from BoE Governor King, the French and German Finance Ministers, Thierry Breton and Peer Steinbrueck, have backpedalled fast away from their demands that Japan raise its rates.

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