Do you remember the earthquake that caused so much devastation in Fukushima in 2011? This quake has resulted in Japan closing down all its nuclear power facilities and therefore Japan has had to import more oil and gas to fuel Japan. This has come at huge expense and there are no plans to re-open these nuclear facilities any time soon. Therefore if the Yen is weaker import costs to fuel Japan are more expensive and thus creates more debt for a country that is already weighed down by decades of financial mismanagement and deflation. Japan is the ultimate financial basket case.
Everyone thinks Japan is a big exporter. Wrong. Exports in Japan only account for 15% of Japan's output. Why? Because over the years Toyota and most other big Japanese corporations have built factories overseas. As an example it is cheaper and more efficient to build cars in the USA than to build them in Japan and ship them over to the US.
This is an excerpt out of Monday the 20th of October LTG GoldRock Insider Report. If you are an LTG GoldRock there is a very detailed trade explanation for you in Today's report. If you haven't yet read it we highly recommend that you read it as soon as possible to maximise your profit potential.
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