Abenomics' a weak yen policy threatens Japanese

Sometimes when I watched TV news in the evening the scene Japanese housewife and salary man were interviewd on the street about their business and economic situation in Japan is shown on the screen.

Everyone interviewed on the street say it is bad time now in a chorus. One Japanese salary man said " it is severe time to earn money. I spend my time after work at cheap Izakaya for a reward for my work today and my small happiness.

Yes, everyone of who were interviewed on the street answered things are really bad. On the other hand, those of who engage in financial business and work in a restaurant located around where financial companies are clustered especially around Kabuto-cho existing Tokyo Stock Exchange say it is very good time now and their profit keep increasing in a chorus with big smile.

Although Nikkei Average recorded 20,000 yen by Abenomics, why would everyone have felt economics in Japan have been bad?

Because people who benefit from stock price rise are just handful. For example, exporters sell foreign currency and exchange it into yen so the weaker yen is,the more yen comes in.

In short, a weak yen helps exporters make more profit. Moreover, Nikkei Average rise gives directly profit to investors as well.

Primary reason that Nikkei Average reached 20,000 yen was said that Government Pension Investment Fund that manipulates funds around 130 trillion yen invested massive funds to stock market.

In other words, Japanese government was to raise its stock price by using funds gathering from nation and let only a handful of investors make a large profit.Abenomics is very advantageous to the rich.

At this moment, the people who directly benefit from Abenomics are only investors or exporters. Various prices are going up as much as import costs is raising by a influence of a weak yen. Most of the company's salary raising for workers haven't got a benefit from this policy.

Companies will raise their salary for worker after they can finally ensure they've achieved more increased profit from sales than the previous term so it will take a couple of years to be raised salary after stock prices go up,

which brings about the situation that prices will go up but disposable income will not increase.

If so, a lot of people having a difficult time in spite of Abenomics will come out.

Japanese Government managing a weak yen and strong stock price policy, we should be on the side that we can benefit from Abenomics.

I think there are few people who feel that way.

I can find many companies that only the stock prices are going up although actual results are not going up. Hereafter, for foregin people there are many chances to buy Japanese yen.

A week yen is basically linked to strong stock prices.

If yen go down then prices go up.

If yen go down then it looks having a sale for foreigners.

This is a big chance for foreigners who hold foreign exchange to purchase Japanese real estate cheap.

You can buy a stock cheap.

You can buy a thing cheap

Then foreigners find this situation and capital comes into Japanese economy.

Opinions about Abenomics are divided among experts. Various goods and services are sold , employment opportunities are created enough to overcome the demerit of price rise and a week yen, capital investiments are made then salary goes up and the money is consumed cyclically and then actual Japanese economy is recovered
or Abenomics is kind of make-believe that ends up letting just investors make a large profit.

So I think sometimes it's important to learn how to trade on stock market from now to make profit depending on any situation we stand such as whether the Abenomics is a kind of make-believe to only expand finacial market or is very good policy to recover actual economy from this present situation.

This week yen threatens Japanese to go abroad.

I thought prime Minister Abe would have purposely practiced this policy of a weak yen to keep the rich from immigrating to other countries because for Japanese people whose property is almost yen, traveling abroad and emigration are one of the difficult choice from now if a weak yen continues.