Japanese GDP fell for the 2nd quarter in a row making it official – as we warned a month ago – that Japan has entered a triple-dip recession. Againstr hope-strewn expectations that the rebound from a sales-tax-driven slump would create a magical 2.2% (annualized) expansion, Japanese GDP slumped 1.6% in Q3 – missing by the most since March 2011. So no tax increase… and thus fiscal responsibility goes out the window. Abe dissolves government and bails on another failure? The initial kneejerk reaction sent USDJPY surgiung back over 117.00 (and NKY followed0 but that has quickly reversed and NKY futures are 200 off their highs.
Abenomics – FTMFW!!!
The full breakdown…
Which left this reaction…
We can’t wait for the spin… buy Japanese satocks because they are in recession which means so much more pent-up demand when Abenomics really works? Oh and by the way… Kuroda just fired his biggest bazooka ever so don’t expect any monetary policy reaction to this.
Charts: Bloomberg
via Zero Hedge http://ift.tt/14wmi2U Tyler Durden