Currencies on the Move: Yen-USD Busts Through 1.00 Barrier; Australian Dollar, Euro Slump; The Uplifting "Abenomics Bra"

There are some interesting moves in the forex markets today. Most notably the Yen cracked the 1.00 barrier.

Yen Daily Chart



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After flirting with 1.00 for three weeks, the Yen fell through today.

Is it the new Abenomicsa Bra?

The Japanese division of lingerie maker Triumph International unveiled on Wednesday an "Abenomics" bra, a special edition it says offers a "growth strategy" and a potential lift towards Japan's elusive inflation target.

"We hope that, as the Japanese economy grows, we can also help bust sizes to get bigger," said Triumph spokeswoman Keiko Masuda. Its benefits for Japan's policymakers were less clear.

The Uplifting Abenomics Bra



Australian Dollar Intraday Action



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Top to bottom swing is about 2.5 cents vs the US dollar. That is a big swing, without (thankfully) a bra for Prime Minister Julia Gillard on display.

However, a high school student threw a sandwich at Gillard today.

The student in question, Kyle Thompson, has been suspended for 15 days for the incident but denies he did it, local TV reported.

[Kyle Thompson, Student]: "I hit the sandwich out of the kid's hand because he threw it and there was another one so I hit it out of his hand," he said.

When asked why the prime minister was targeted he said, "maybe because nobody likes her."

Although there was the occasional boo, most children cheered and jostled to shake Gillard's hand during the school visit.

Currency Moves



Unfinished Business

The end of my previous post was accidentally cutoff. Here is the tail end of Action Plan to Save Slovenia is Trifecta of Stupidity.

Trifecta of Stupidity

Is there not one bureaucrat who can be fired? What about changes to work rules to make the country more productive? Is every cent Slovenia spends necessary?

Hiking taxes in a recession is the single worst thing a country can do, yet Slovenia proposes a trio of them. When Slovenia slumps further into the gutter (and it will if they implement even a portion of these proposals), Keynesian clowns will holler "austerity ruined Slovenia".

Nothing could be further from the truth. Tax hikes in a recession are not austerity, they are stupidity, and Slovenia is going for the tax-trifecta of a tax on wages, a hike in the VAT, and a hike on property taxes.

Unemployment, already at 13.5%, will hit 20% if this plan is implemented.

Mike "Mish" Shedlock
http://globaleconomicanalysis.blogspot.com