Saturday, July 30, 2016

What?! Central Banks Have Lost Their Credibility! When Did This Happen?

Japan's shocking stimulus illuminates central banks' lack of credibility

After a weekend summit where Bank of Japan Governor Haruhiko Kuroda either didn't know what was coming or flat out lied about it, Shinzo Abe's supermajority government announced an astounding ¥28 trillion fiscal stimulus package that immediately sent the yen tumbling. That's US$265 billion. The yen recovered slightly since, after a story in the Wall Street…