- Kuroda-san doing a Mark Carney – delaying the promised stimulus that market sought after
- Abe-san might take the helm next week to perhaps surprise market with a large stimulus package – part of his so called three arrows that have many many three arrows within (http://fortune.com/2016/07/27/japan-stimulus-shinzo-abe/)
- It is easy to talk up further stimulus to fight deflation but the larger question remained if all this stimulus is actually working?
- Stopping a patient bleeding is fine but if the blood banks runs out or prove ineffective the patient will eventually die
- The introduction of QE happened in Japan since 2001 and yes we purposely BOLD IT UP (http://themarketmogul.com/brief-history-quantitative-easing/) ended in 2006 then restarted
- See chart below but even Pokemon can’t help the Nikkei higher
Seasonality for (Nikkei)
Seasonality for month of August (SPX)
Seasonality for month of August (Gold)