Although this country is located in Asia, it belongs to the developed countries of the West; has been closely following the United States, but has been repeatedly harvested by the United States; It is in the top 5 of the world's GDP, but in recent years, its ranking has fallen again and again.
This is Japan, and now more troubles are testing Japan.
Both social and economic, in 2024, Japan** and the Bank of Japan will need to make their choices carefully.
But what is strange is that Japan has made many decisions that go against common sense, such as in the tide of simultaneous global sell-off of US bonds, Japan has repeatedly backhanded**.
Two catastrophic events have occurred in Japan recently, one of which is **, the death toll has risen to 206, and 52 people are still missing. The other is the plane collision that occurred at the airport.
However, relatively speaking, the economic problems have a greater impact, and the consequences are more obvious.
When we look back at the exchange rate of the yen in recent years, we find that the yen has been ** for three consecutive years.
In 2021, it fell by 1142%；The decline in 2022 reached 1391%, in fact, during the year, the yen fell below 151, but in the last two months there was a **, narrowing the decline.
The decline in 2023 is 756%, which also fell below 151, also in the last two months, narrowed the decline.
But after entering 2024, the yen has started a new round of **, from the previous ** close to the 140 mark to now falling below 145 again.
Obviously, the depreciation of the yen has hit the Japanese economy very hard, first of all, causing Japan's ** deficit, because after the depreciation of the yen, the purchasing power has decreased, and the cost of imports is higher than before. Japan is a resource-poor country, and a large number of resources depend on imports, which has caused increasing pressure on imports and a growing deficit.
At the same time, the depreciation of the yen has also caused imported inflation, and the real income of ordinary Japanese people** has affected domestic consumption and then the economy.
Japan's Ministry of Internal Affairs and Communications recently released data showing that Tokyo's core CPI for the entire 2023 year is up 30%, which is the highest level since 1982.
Inflation** has led to a serious erosion of the real incomes of the Japanese people. According to information data released by the Ministry of Internal Affairs and Communications at the same time, the average household consumption in Japan in November was 28690,000 yen, net of prices, consumption decreased by 29%。
On the one hand, weak exports, and on the other hand, domestic demand was affected by inflation, which caused the Japanese economy to decline again in the third quarter of this year.
At the beginning of December last year, Japan announced its real GDP growth rate for the third quarter of last year, with an annualized rate of **29%, and if Q4 continues**, Japan will fall into a technical recession.
In fact, it is imperative that Japan find a way to raise the yen's exchange rate, but Japan's actions are very suspicious.
In 2022, after the exchange rate ** broke 145, the Bank of Japan has made three moves to the market. When it fell below 145 this year, or even after it fell below 150, the Bank of Japan did not make any real moves.
What's even more strange is that in a single month when it fell below 150, the Sea of Japan slammed into $11.8 billion in U.S. debt.
Today Japan is close to 1With a $1 trillion holding, is it a way to show loyalty to the United States by continuing to be the largest overseas buyer of U.S. bonds?
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