Assets to buy in JPY with this high rate

[TokyoBoglehead]

today’s batshit exchange rate

Worth keeping in mind that it is possible the yen will stay at this level vs the dollar or even weaken further. Or it might strengthen.

I don't know, so I'm just carrying on with regular investments into the all-country fund.

Rates are going to get worse before they get better. Investors want USD not YEN as Treasury rates rise. And another .75%-1% rise seems almost certain after the recent hot inflation print.

Eventually, raising rates will slam on the brakes enough to slow inflation, rates will be lowered, and the yen will rebound. How long will all that take? What will happen in-between? Will it all be linear? No one knows.

That being said, you should being considering long-term strategies. Not short-term.

What allocation do you want to have in 10 years. Market weight? Or overweighting Europe, UK, Japan?

If the answer is market weight, buy a Global Index.

[goran]

Sudden big drop in USD to JPY rate today.
Market sentiment changing?

Not that it makes any difference to my new found love for emaxis slim all country.

[TokyoWart]

Sudden big drop in USD to JPY rate today.
Market sentiment changing?

Not that it makes any difference to my new found love for emaxis slim all country.

The explanation I am hearing is that the margin between the JGB 10 year and the US 10 year Treasury has narrowed as the US bond's yield fell. That can be another way of saying "market sentiment changed" because bond yields are all about sentiment.

"FX – JPY is again the big winner today in Asia moving up because the big driver, namely 10yr/JGB yield differentials, are narrowing. JPY has rallied 300 pips since yesterdays data print and Tokyo CPI hitting above the BOJ’s 2% target has helped again today. USDJPY currently sits at 132.65, just 15 pips above it’s low. The only true support seems to be 130.00 and not because its supposedly “psychological” nature."

https://harkster.substack.com/p/the-mor ... dium=email