Skeeter, yes, deja vu, alright, except that now we are closer to the end game, and we have in place a massive stimulus program in place. Now it turns to how wise the central bank of Japan is going to be in managing the monetary side of the problem, the fiscal side is, IMHO, taken care of (not exactly as I would have done, but it is done). I think that BOJ and Japan will get used to somewhat lower gap between their rates and ours, and within six months or so, Japan may come back to "have faith in itself" again. That is when, IMHO, the Japanese markets and economy will be ready to bounce again, and a consumer led economic recovery for Japan and the rim will start.
Now, it is simply a confidence game. The liquidity is there to achieve the turn around.
Zeev |
