/biz/ - Business & Finance

Blah blah blah jewish dark magic

Buy guns metal monero and stop listening to kvetching

>>53150004
Nigga…how does the yen not collapse?

>>53150004

The biggest issue that I have with your statement is that quite clearly Sneed would never have bought a former establishment that Chuck didn't use as a wholesale shop for grain.
My reasoning is pretty straightforward: It would previously have had plumbing facilities, lighting, and a layout that would have been entirely unnecessary for the industry that he set up and ran.
It would have required significant re-purposing that I do not think will have been tenable for a humble agricultural business.

>>53150011
It is going to in 2 more weeks

>>53150011
Doesn't matter

>>53150018
The entire joke is just commentary on how degenerated and perverted the western mind has become.
It was Chuck's Feed and Seed you disgusting, retarded, drooling, mental midget who thinks he's clever FAGGOT.

>>53150035
Except Japan is the largest holder of US bonds…

What you think is the first thing they sell to prop up the yen?

>>53150018
>I see no problem here...

>>53150018
Shut the fuck up retard

isnt 16 trillion yen just like a billion dollars

>>53150198
121B USD.

Can someone explain this to me like I'm retarded?

>>53150397
tldr Jap money printer go banzai.

>>53150438
Thanks b

>>53150011
Ancient japanese paper, folded 1000 times.

>>53150632
kek

>>53150098
us bonds sold = bullish for usa stock market

>>53150011
It already collapsed 25% that's colossal for a currency. remember this printing their doing now is a drop in the bucket compared to what they've done year after year

>>53150870
You're a special kind of retard.

>>53149978
Why would they have to buy more bonds to make them cheaper? That doesn't make sense.

>>53151300
cheaper in this case means keeping the yield low

>>53151389
No, it means increasing the yield. See the OP.

>>53151520
read again you fucktard shit for brains rat illiterate faggot NIGGER and never reply to me ever again

>>53151597
>lifting the ceiling for 1-year JGB yield from 0.25% to 0.50%
0.50% is greater than 0.25%, that's why it says 'lift' -- you embarrassing retard.

> Oh. My. God.

Lol at this histrionic millennial faggot

>>53149978
I don't see a problem at all.
The BOJ can print infinite amount of currency to buy Japanese bonds with.

>>53151720
explain to me what part of "they're buying to keep the yield low" you don't understand?

>Oh. My. God.

>>53150011
Same reason why Argentina's economy somehow works.
Both countries are the odd ones out.

>>53151813
>"they're buying to keep the yield low"
False. Read the OP. They are raising the yield.

>>53151919
they're raising the yield cap and buying to keep it below that level, i hope you understand now

>>53151952
Why would they buy more to keep it below a higher cap? That doesn't make any sense.

>>53149978
>Oh. My. God.

>>53151970
Bond prices and yields are inverse correlated. So you buy bonds to keep rates low. I think you are slow anon.

>>53152002
For the last time they are RAISING RATES not lowering them. Read the OP. You are clearly clinically retarded.

>>53149978
The stupid thing about this post is is that he doesn't mention that they would have spent even more money if they were to have kept on defending the lower peg. The farther away your peg is from the market rate, the more money you have to spend on the peg. What's the market rate over there? Maybe it would be around 2%? Maybe higher because inflation is picking up over there too.

>>53151970
fucking brainlet get the fuck outta here if you dont understand how bonds work

>>53152045
>you dont understand how bonds work
That's you, dumbshit.

>>53152042
>The stupid thing about this post is is that he doesn't mention that they would have spent even more money if they were to have kept on defending the lower peg.
This.

>>53151389
>>53151597
>>53151813
>>53151952
>>53152002
>>53152045
>these are the mouthbreathing mongoloids you are trading against

modern monetary collapse tiers

speed runners: japan
runners up: EU
slowly but surely: everyone else

It's honestly completely irrelevant.
BoJ is the bank of Japan. This is Japanese debt.. held by Japs.

The system looks pretty stupid to us, but it works for them. In their culture people like to stack up and sit on 100k USD equivalent worth of cash in a bank account. They don't care much about their stock market. They don't care to force everyone into buying bonds to protect purchasing power. They're not in some race to spend every penny of every paycheck and consoom as much as they possibly can. They're content just living. They do have a pretty absurd work culture though, from our perspective.

In the end, as long as they keep their imports/exports balanced, who cares how they run their local currency?
Probably their biggest risk as an economy is their unsustainable birth rate. Korea is even worst though.

>>53149978
There will be one world currency in 2030.

It will be the US Dollar.

America will be ushered into a golden age and third world whores (Europeans) will please our Big American Cocks (BAC) for mere pennies

>>53152166
It's not. Not even the hoard of hundreds of millions Japanese wagies can soak up this new yen supply.

Hyperinflation is inevitable.

>>53149978
w-words?!!!! pogg!!!

>>53149978
This is basically post ww2 environment except the big difference is USA only exports usd.

>>53151813
holy fuck anon
>>53151919
is a nigger, he obviously has no reading comprehension.
>>53151970
anon go learn about yield. It works like this. When bonds are created, they have a "coupon rate" this means that they say "this bond will pay $5 per time unit(lets say 1year)". That $5 doesnt change. So if they sell a bond for $100 witha $5 coupon rate, this means that at the sale, it has a 5% yield. If the price goes to $200 per bond. The yield is now 2.5%. If the price goes to $50, the yield is now 10%. What japan is doing is buying up bonds to keep the yield at their target. Its truly not hard for anyone with a 100+ IQ to understand. But you are a nigger so I will hold your hand (with a glove on of course) and show you.

>>53152422
>to keep the yield at their target
They RAISED the target, dumbfuck. It was 0.25% and now it's 0.50%. You are stupid beyond words.

>>53152510
This is what I mean by no reading comprehension. While they may have raised the rate. The rate is still trying to shoot higher than their target. This means that they should have spent less money to keep the rate stable where they want it. Instead what happened is that they raised the rate, and still spent a drastic amount more to keep the new rate target than they did with a lower rate target. This means that their shit is even more fucked than people had realized.

>>53152579
imagine if they were trying to get the yield to .25% still. They would have had to spend more than double what they just spent to get it to the old .25% target. If you take a look at a parabola (what describes compounding interest) you will notice that there is a point where the graph is basically just vertical....Japan is in the vertical phase of their parabola.

>>53152579
Now you're just regurgitating the OP. Saying "shit is fucked" is not an explanation. At least you're now admitting how retarded your post here >>53152422 was. Turns out you were the one in need of a remedial lesson in how bonds work, not me.

>>53152655
Nonsensical post.

>>53152664
>When bonds are created, they have a "coupon rate" this means that they say "this bond will pay $5 per time unit(lets say 1year)". That $5 doesnt change. So if they sell a bond for $100 witha $5 coupon rate, this means that at the sale, it has a 5% yield. If the price goes to $200 per bond. The yield is now 2.5%. If the price goes to $50, the yield is now 10%
>The rate is still trying to shoot higher than their target. This means that they should have spent less money to keep the rate stable where they want it. Instead what happened is that they raised the rate, and still spent a drastic amount more to keep the new rate target than they did with a lower rate target. This means that their shit is even more fucked than people had realized.
>They would have had to spend more than double what they just spent to get it to the old .25% target. If you take a look at a parabola (what describes compounding interest) you will notice that there is a point where the graph is basically just vertical
durk a dur, just regurgitating. plz show me one previous post with my info in it.
>>53152699
Quite literally the truth of how compounding works anon. Post your fucking hand. The more you talk the more you expose your ignorance. What were seeing is a called a debt spiral.

>>53152719
>This means that they should have spent less money to keep the rate stable where they want it. Instead what happened is that they raised the rate, and still spent a drastic amount more to keep the new rate target than they did with a lower rate target. This means that their shit is even more fucked than people had realized.
This is your explanation. "It shouldn't be, but it is. Why? Because their shit is fucked." That's not an explanation, it's just a regurgitation of the tweet in the OP.

>>53152510
>They RAISED the target, dumbfuck
The market forced them to raise the target. The market pushed the rate to 0.5% where the Japanese central bank had to step in and buy shitloads of bonds to prevent the market from pushing it even higher. They are BUYING bonds to keep the rate DOWN below 0.5% otherwise it would go much higher. Why is this hard to understand?

>>53152756
You truly have no idea about how governments issue money and control markets do you? I havent mentioned anything about shit being fucked like you keep trying to say. What has happened is their debt has ballooned past the point where they can tend it properly. In order to control things, the government is being forced to mass print money or else they will default. Are you seriously that fucking retarded that you cannot put together pieces of this puzzle? Do you really have to come here and have others explain this to you? You keep showing us the proof that you are a nigger.

>>53152791
this is called
>>53152719
>a debt spiral
Use fucking googled to look up terms that you dont know, you mongoloid.

>>53151012
No no wait, everytime I try to be logical in this absolute fucking clown world retards do better. I think he may be onto something

>>53152791
>I havent mentioned anything about shit being fucked
You literally wrote:

>This means that their shit is even more fucked than people had realized.

But you really show how clueless you are by writing this:

>In order to control things, the government is being forced to mass print money or else they will default. Are you seriously that fucking retarded that you cannot put together pieces of this puzzle? Do you really have to come here and have others explain this to you? You keep showing us the proof that you are a nigger.

Spinning your wheels and spewing out irrelevant platitudes where an honorable person would apologize for erring so badly.

>>53152758
The point is that increasing the peg was not the problem. They would have to spend even more had they maintained the peg.

>>53152303
>Not even the hoard of hundreds of millions Japanese wagies can soak up this new yen supply.
They soak it up because the yields are zero. When your savings don't generate yield, you need to save more. In the end, all they're doing though is trading bonds that will be worth 100 yen in the future, for 100 yen right now. There is no yield component to the bonds, so its a direct 1:1 transfer. Long term impact is zero, and all this new currency still just sits in savings accounts so the present day impact is effectively zero too.

The main problem with their setup is that they no longer have flexibility to adjust yields much in the future. There is so much yen out there lying around, and offsetting debt too. It's a ton of hidden leverage. Any adjustment in rates has a massive impact on balance sheets.
Personally, I don't see any particular reason why central banks should exist at all in the first place though. So a central bank that takes no meaningful action is an improvement in my eyes.

>>53152897
did I use that as an explanation of what was going on? Nope, just said that things are even worse than people realize, which is the truth. To put this into perspective for you japan had to print 119,600,000,000 last month to keep things stable. Not sure why its so hard for you to realize that people can explain something, and then make an observation about that explanation. Also, why is it so hard for you to use fucking google to type in the search term: "why is japan having to buy so many bonds" to get a succinct explanation? Do you really have to come here and have anons explain to you things that are freely available for your viewing on the internet? This is something that has been going on for quite some time in Japan and is widely being studied. No one is going to sit here and explain to you each and every move the japanese people and the japanese government have made to end up at this point like you seem to want. The term "
debt spiral" should have been enough for you to go on https://www.reuters.com/markets/currencies/govt-panel-member-says-bojs-yield-cap-causing-negative-spiral-yen-falls-2022-06-23/
Here, since it seems like you have great difficulty finding information on your own I went ahead and typed in "japan debt spiral" for you and found this article. You just keep showcasing your pure ignorance.

>>53152248
>American adds absolutely nothing but some fantasy about sucking cocks and how Murica Number 1!!! while you literally have an Alzheimers patient as a leader...literally an Alzheimers patient

Never change you retarded burgers

>>53153021
You really are a total fucking idiot. There is no mystery about what is happening. Contra the OP and you,. BOJ's bond purchases have nothing to do with increasing the peg. You have absolutely no understanding of how any of this works. Repeating "debt spiral" and "money printing" over and over again is not an explanation for why increasing the target yield would result in an increase in BOJ bond purchases. That's because one didn't cause the other, rather both are the effects of a prior cause.

> https://www.reuters.com/markets/currencies/govt-panel-member-says-bojs-yield-cap-causing-negative-spiral-yen-falls-2022-06-23/
That article is from June 2022, dumbfuck. Months BEFORE the cap raise. They raised the cap to help mitigate the weakness of the yen. You are utterly clueless.

>>53153111
>There is no mystery about what is happening.
Then why the fuck are you acting like you have no idea? Do you truly not understand the difference between an observation and an explanation? That article being "old" literally less than 6 months old, means absolutely nothing especially when the problem being described in the article is still going on and has only gotten worse. The only reason the target is being raised is because trying to force it down further is completely untenable.
>They raised the cap to help mitigate the weakness of the yen.
You seem to think you have a good grasp on things, yet you come here and ask questions about it?

>>53153181
>Then why the fuck are you acting like you have no idea?
Reread the thread, dumbass. I asked why Robin Brookes and you think increasing the cap necessitated more bond purchases. You spewed out a bunch of irrelevant and vague generalities about the situation as a whole, but you never even attempted to give an answer.That's because there is no answer that makes any sense. The reality is, had they maintained the peg, they would have had to buy even more.

>>53153230
you truly are a grade a retarded troglodyte anon. Just continue to ignore literally every single thing myself and other anons have said here. You obviously are having trouble following along with the conversation.

>>53153395
You said nothing of import, and certainly nothing that addresses why raising the cap would necessitate more bond purchases than maintaining the peg at 0.25%. You just spun your wheels and posted irrelevant nonsense.

>>53153439
No one is going to hold your hand and give you a blow by blow of what the japanese people and japanese government have done to make it to this stage.
>>53153021
>No one is going to sit here and explain to you each and every move the japanese people and the japanese government have made to end up at this point like you seem to want.
IF you truly want to know more about this situation then go look up the fiscal and monetary policies of japan. The fact that japan has untenable debt is answer enough. The next question is, how did the debt become untenable. You need to learn how to follow along with information that is being provided to you. The fact that you cant look at the myriad of articles that have been printed in the press delving into deep details about all this shows that you have 0 ability to comprehend what you are reading and so need to come to a vietnamese basket weaving forum to have people lay the information out for you in easy to understand terms. Get the fuck back to /pol/

>>53153511
Yet more wheel spinning. Still no answer to the question at hand.

>>53153522
>no little anon, you cant drink all that mil
but why not?
>its going to make you sick
but why?
>because its too much milk for your little stomach to handle
but why?
>because you are young
but why?

This is what you are doing anon.

>>53153539
Nope, it's a simple question. Why would raising the cap to 0.50% require more bond purchases than maintaining the peg at 0.25%? That's been the ONLY question the entire thread, yet you refuse to answer it. You just insist that it's true. Newsflash: it's not. BoJ would need to buy even more bonds to maintain the peg.

if you truly want to know more about this situation, this thread has more than enough information in it for you to have a starting point to delve deeper. There is no simple answer like you seem to think there is as to why japan has gotten to this point.
>why raising the cap would necessitate more bond purchases
the fact that this is your question shows you have 0 understanding about the underlying topic. Start with DEBT SPIRAL you nigger.

>>53153562
Nobody in this thread apart from myself knows jack shit about Japanese bonds or monetary policy. Especially you.

>>53153575
holy fuck anon. You obviously know jack shit, especially if you think the japanese bond market is any different than any other bond market. Let me get youre retarded nigger ass started.
>Why would raising the cap to 0.50% require more bond purchases than maintaining the peg at 0.25%?
It doesnt you fucking stupid nigger. It means that they should have been able to purchase LESS bonds to keep things stable. The fact that they had to buy EVEN MORE bonds to keep the new higher rate stable shows that JAPAN IS EVEN MORE FUCKED THAN PEOPLE REALIZE.

>>53153592
>youre
your*

>>53153592
>It doesnt
Finally you admit it. Raising the peg wasn't the problem, contra you and Robin Brookes. Now apologize for wasting everyone's time.

japan is fine, the hentai industry will see massive growth this century and japan dominates that industry

>>53153614
the fuck? Do you now know how to read?
exhibit A: >>53152579
my post >>53153592
had the same info as >>53152579
I figured if I simply repeated myself you would do something like this.

>>53152579
>This means that they should have spent less money to keep the rate stable where they want it. Instead what happened is that they raised the rate, and still spent a drastic amount more to keep the new rate target than they did with a lower rate target. This means that their shit is even more fucked than people had realized.
>>53153592
>It means that they should have been able to purchase LESS bonds to keep things stable. The fact that they had to buy EVEN MORE bonds to keep the new higher rate stable shows that JAPAN IS EVEN MORE FUCKED THAN PEOPLE REALIZE.
Damn near word for word the same.

>>53153655
That ladies and gentleman is how you spot and call out pilpul.
also I should have used the word "fewer" in the second greentext.

>>53153647
For the last time, they are buying LESS than they would have to buy to maintain the 0.25% peg. So Brookes is full of shit when he says "exiting any peg is costly" and so are you.

When I posted >>53151970 you replied with this embarrassing juvenilia >>53152422 in which for some reason you try to explain rudimentary concepts like coupons and yields instead of simply answering the question.

Exiting the peg didn't cause the problem. Exiting the peg helped solve the problem.

>>53153701
give it up anon, you have been exposed hardcore, go back to your masters and tell them that you failed once again.

>>53153665
>>53153665
>That ladies and gentleman is how you spot and call out pilpul.
>also I should have used the word "fewer" in the second greentext.

>>53153713
Do you still agree with Brookes or not? You are declaring victory despite apparently admitting I was right all along. Talk about pilpul.

>>53150632
funniest post here right now

>>53150011
It's the biggest US debt holder. Basically, it has massive savings from the 80's economic boom.

In layman's terms, Japan is living on a borrowing time. And guess what it'll do when it collapses? It'll dump that massive US t-bond of course!

unironically 2 more weeks but this is the real deal

>>53149978
all just pointless numbers who cares

>>53150011
Culture of savings (in a bank). Nothing, not even negative rates, will stop jap boomers from putting their earnings into a savings account until retirement.
Especially the ones who got devastated by their mother of all real estate bubbles.