Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Asia Forum -- Ignore unavailable to you. Want to Upgrade?

To: Alias Shrugged who wrote (3174)	4/15/1998 9:36:00 PM
From: Zeev Hed	Read Replies (2) \| Respond to of 9980

Mike, I do not think that the Yen will depreciate "substantially" against the dollar, I think that we can see this year 140 yen/dollar (and we almost got there when BOJ mounted a massive defense). If the yen depreciate much more it will make it untenable for US competitors to hold the line and not lose major chunks of their markets. Furthermore a very weak Yen will make it more difficult for SEA to get out of the hole by exporting to Japan. Japan needs an economically strong SEA since a good 30% or possibly more, of their export is to SEA, and to maintain this they must open their borders to their neighbours products, otherwise, major imbalances will occur. Next year, we may see additional deterioration of the yen against the dollar, but I doubt we will see any massive devaluation, more a gradual decline with intermittent interventions. Rubin does not want to see a very weak yen at least not precipitously, and Rubin has a way to get what he wants (G). Just one person's opinion (or better yet, not mine, just my rotting composting turnips). Zeev