Where is the Japanese Yen Headed?

Graphic Investors JPY ¥EN Investments Visualized Where is the Japanese YEN Headed? Since December 2012 the YEN has depreciated significantly. Against the USD it has moved from 80.50 to 97.50 foday. In the below analysis we have a look at our outlook for the future of the YEN. We contend that the YEN is set to depreciate even further due to the following four catalysts. May 2, 2013 CATALYSTS Capital Flight Fiscal & Monetary Policy Aging Population Large Public Debt Intent to boost economy by continued fiscal and monetary easing World's oldest population and shrinking, makes economic growth difficult The world's largest public debt at 230% of GDP Low interest rates mean investors will shift their investments elsewhere PUBLIC DEBT POLICY Print Money Inflation Target 23% of national budget was spent on interest and repayments of public debt in 2012. As it grows investors will begin to lose confidence in YEN. 230% of GDP 60 to 70 trillion YEN annually 2% Japan Greece Devaluation Intending to double the Japanese money supply within 2 years 170% 74% United States CAPITAL FLIGHT POPULATION % of pop. 65+ years 40 A 29 A- Investors seek higher returns B-Carry trades 4- C- Further depreciation and seek of return on appreciation of foreign currency 2010 2020 2030 2040 2050 Piktochart Graphic Invectors www.graphicinvestors.com make information beautiful Graphic Investors JPY ¥EN Investments Visualized Where is the Japanese YEN Headed? Since December 2012 the YEN has depreciated significantly. Against the USD it has moved from 80.50 to 97.50 foday. In the below analysis we have a look at our outlook for the future of the YEN. We contend that the YEN is set to depreciate even further due to the following four catalysts. May 2, 2013 CATALYSTS Capital Flight Fiscal & Monetary Policy Aging Population Large Public Debt Intent to boost economy by continued fiscal and monetary easing World's oldest population and shrinking, makes economic growth difficult The world's largest public debt at 230% of GDP Low interest rates mean investors will shift their investments elsewhere PUBLIC DEBT POLICY Print Money Inflation Target 23% of national budget was spent on interest and repayments of public debt in 2012. As it grows investors will begin to lose confidence in YEN. 230% of GDP 60 to 70 trillion YEN annually 2% Japan Greece Devaluation Intending to double the Japanese money supply within 2 years 170% 74% United States CAPITAL FLIGHT POPULATION % of pop. 65+ years 40 A 29 A- Investors seek higher returns B-Carry trades 4- C- Further depreciation and seek of return on appreciation of foreign currency 2010 2020 2030 2040 2050 Piktochart Graphic Invectors www.graphicinvestors.com make information beautiful