Yen: Why Intervention Can Work When It Shouldn’t! (And a Modest Road Map for Currency Weaponisation)

Yen: Why Intervention Can Work When It Shouldn’t! (And a Modest Road Map for Currency Weaponisation)

This report analyses two things:

·      The US-Japanese Yen intervention.  Why it can work for a while. But needs Japan to change monetary policy to make it last.  This won’t happen. So the Yen will just mark time for a while around 155.  Then it’ll start swooning away again.

·      Weaponisation is now laid bare etherised on the operating table for all to examine.   The lessons are counterintuitive. They inform the path of future weaponisation of international exchange rate affairs.   That involves such things as international reserves and the role of the US$.  Read on!!