Japan Election 2012 December 16th

Not sure what to expect from the election but the outcome from that can be major game changing event in how dollar yen will move in coming months. In turn, it will affect all other financial markets.

From the chart of dollar yen, it is clear that it wants to go back up to 86 or much higher level. Strength in US dollar implies more pressure on the US stock markets.

But is it allowed?

US officials obviously want to trash US dollar further given the latest confirmed expansion of the QE program.

There are times that things go out of control. Development in Japan, Iran, North Korea can all mess up the central planning efforts from Fed.

This is definitely not the best time to invest into anything.

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