The Desperate Suicide of Competitive Devaluation….. | Zero Hedge.
The zero sum game of competitive global currency devaluations is on like Donkey Kong. Anyone still sleeping comfortably, confident that all will end well, best brace themselves for a resounding wake up call. Be alarmed, Japan just jacked the joint, and the jerry rigged monetary jig is up. Moving forward, all the other Asian export centric economies will promptly be forced to keep up with their FUBAR neighbor, the juiced Japanese Joneses.
Each Nation State in the Far East is now completely compelled to competitively devalue in tandem, in order to maintain export market share, in a desperate attempt to avert their outbound container super ship cargoes from running westwards on empty.
Throughout the new millennium, China has made great technological strides, repositioning itself away from a predominantly low tech manufacturing economy, towards a value added high tech producing exporter. In this capacity it has converged with Japan. The Japanese, on the other hand, over the same time period, have seen both the Chinese and the Koreans, as well as the other Asian Tigers, ravenously devour more and more Hamachi and California rolls, promptly snatched from their stale sushi shop lunch box.
Take one quick look at the above chart and the official photo op below. You tell me why Mr. Xi nearly gagged when shaking hands with Mr. Abe the other day.
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