I strongly believed that Kuroda was going to talk a weaker yen, unfortunately, his speech was rather neutral and political.
When he says that the BOJ is comfortable for inflation to shoot past 2%, I mean it must be a joke right. Inflation is so benign in Japan, shooting past a target that is so far away is RIDICULOUS! It would be so different if Kuroda said that they would adjust CPI to 1.5% and then, let it over shoot. If USA has adjusted CPI downwards, why not Japan?????
Today QE in Japan is about 400 trillion yen or about 80% of nominal GDP…………hmmmmmm………..that is scary!!!!!!!
This can only mean a WEAKER YEN.
Anyway, coming up to Kuroda’s speech, yen was weakening from 100.8 in Asia morning to 101.70 by 2pm.
I decided to square my position at 101.70 for a trading profit of 1.54 yen!!!!!!! Yummy!!!!!!
The Panthenon Investment Group 