This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Global Macro: A Closeup on the Asian Pacific

Staying with the theme of the Japanese economy, the yen was able to break below the 100 mark versus the U.S. dollar. A catalyst for the broken barrier lies with the increase in foreign investment on the part of Japanese investors. When the Bank of Japan announced its aggressive policy, many people saw this as an opportunity for a flight of money out of Japan, towards foreign markets. As the yen falls, people sell Japanese bonds, and the interest rate increases as the Bank of Japan had hoped.

The issue with this is that the Japanese bonds, as low as their rates may be, act as a safe haven buy. When people start dumping Japanese bonds, it is a sign that risk assets are seen in a favorable light. The chart below is of DB Japanese Government Bond Futures ETN (JGBL). The asset's break of its trend line confirms that selling of the yen has picked up steam. As investors sell the yen in order to buy foreign bonds, the yen should continue lower and Nikkei should push higher.

2 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
DBC $12.53 0.00%
JGBL $22.10 0.00%
RSP $70.73 0.00%
USO $8.91 0.00%
XRT $39.11 0.00%


Chart of I:DJI
DOW 16,204.97 -211.61 -1.29%
S&P 500 1,880.05 -35.40 -1.85%
NASDAQ 4,363.1440 -146.4150 -3.25%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs