ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
When I wrote about the Bank of Japan’s (BoJ) currency trap, the presumed intervention looked ineffective on balance. However, it appears the Bank of Japan has a multi-phased plan. Last week’s presumed intervention generated a fresh phase of weakness for USD/JPY (strength for the Japanese yen and Invesco CurrencyShares® Japanese Yen Trust ETF (FXY)). That … Read more
The year 2024 may be seen as the time the Bank of Japan’s “free lunch” came to an end. For decades, the Bank of Japan (BoJ) ran a zero interest rate policy (ZIRP) that even descended into negative rates in 2016. The BoJ eased and eased monetary policy (aka printed and printed) to buy Japanese … Read more
In an earlier post on Sunday, I provided reasons to believe that the market was finally drawing a line in the sand for a sustainable bottom. With anticipation, I pronounced I would go on a shopping spreed down to S&P 500 (SPY) 2600. At the time of writing, it looks like I may have to … Read more