If we go up in 2013, Japanese equities are my favored picks, thanks in part to the newly elected government’s plan to stimulate by 10-15 trillion yen. Aside from manipulating the yen lower, the LDP isn’t fucking around with China and intends to bulk up on defense spending, as well as domestic infrastructure spending. They’ve ordered the Bank of Japan to ‘bend the knee’, laying the ground work for a renaissance in Japanese equities.
Exporters should do best, as the rise of foreign currencies boosts earnings. You can short the yen via YCS.
My top pick is HMC, followed by TM. Those are the lay ups.
Some others stocks on my radar include KUB, NMR, MTU, CAJ and SNE. Truth be told, there aren’t any expensive Japanese stocks that are traded in the US. All of them trade under 2x sales.
If individual equities isn’t your thing, consider ETFs NKY, JOF or EWJ.
I’ll be advantageously bulking up on HMC until it is my largest position.
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Market is all over this and already jacking up the bid for ur piks prior to bell. Feel like I’m late and missed the bus
so buy on a dip. No one said you have to run out now and buy.
Fly, I noticed you didn’t mention DXJ as an ETF to play the Japan long, yen short theme. Is it because it is not liquid enough or expenses, or due to another reason. Thanks for your reply.
Excellent ideas Sir Fly.
Thank you.
I guess I should quit being a piker and pony up some HMC profits from yesterday and buy a Distinguished Gentlemen PPT subscription.
VPL
anyway you cut it, the US bull market is getting long in the tooth..goin on 4 years now..we definately have to go find lower hanging fruit in this world
my bet is china/emerging markets..at least in those places, there are fundamental trends of real growth as opposed to the bullshit lies/manipulation here AND japan but hey, who doesn’t love the yen carry trade trade..good times
My plays: wontons, white rice, sewage/trash disposal ……
Why is there such a lack of Japanese stocks, ADRs, ETFs in the US market? There’s maybe 20?
China has dumped a bunch of “Chinese Burritos” in our equity markets. China likes our money, I guess Japan nationalism does not like our money.
Because the Japanese believe in honor, while the Chinese believe in Mars Attack style fraud.
Agree. Thanks Mr. Fly.
Cuz the Japanese have been in a bear market for 2 decades? And peeps in America want to buy stocks that only go up not down.
Fly, what do you think about DXJ?
I like it
Japan is the ultimate contrarian play. When was the last time it peaked 1989? 23 years ago? How much longer can it go down?
THats what they said 16 years, 17 years, 18 years, 19 years, 20 years ago. etc. One day will it will be and Kyle Bass will be thrown to the sewer.
Big box sproting goods stores are hiding their assault rifles. I witnessed two stores sellout within hours. High cap mags have sold out. cheaperthandirt and Dicks have suspended sales. Remington removed pictures of their rifle.
Geithner calls his fund buddies and tells them to dump firearms. Vanguard says tough luck, “socially responsible” investment trades do not interest us.
SWHC +6%
RGR, bitches.
17,000,000 FBI firearm background checks have been filed YTD.
Accessories are next. Quad rails, lights, verticle grips, slings, mags, lasers, red dot, holographic sights…
L-3 EOTech BABY!
How is that SWHC short working out bitches?
Le Fly Bottom is in. It wasnt the Fly Bottom since the Fly doesnt sell at bottoms. But Le Fly? He’s French. He is likely to surrender.
Whatever i own goes down. That is what my life has come to.
Just put 100% in VT, Bogle style.
http://www.reuters.com/article/2012/12/19/us-vanguard-flows-idUSBRE8BI0Z920121219
Hey Huggie, that’s exactly same as here. Shall we have a drink sometime?!
Fly, Tonight we will find out what the Crazy Wild with QE new Japan Govt will give us. Last night I came to the conclusion that so much of this run up was Japan Clam not Fiscal Cliff…so lets see what happens. BTW, Question, if we go Risk Off, the Yen is no longer so safe, so will everything go to the USD?
Agree. Wait and see. You never know how long this new Clam will last neither, as history tells.
Mrs. Tokyo, So true..deflation is one ugly thing and they are planning to throw Godzilla at it.
im still waitin fer a wash out. the gains i had to aug r still intact.
Fly, what’s your plan with VHC?
What does Liverlips Bartiromo NOT understand about “Social Security is NOT a driver of our current debt and deficits, or our deficits over the next ten years”?
BDIY, lol… double top? and fade. tankers tanking