The Fed launched the second round of quantitative easing (QE2) policy, not only multi-stricken country after another “group award” and also “liberal brothers” in the Bank of Japan tied to a boat, to the Bank of Japan on the road leading to a more relaxed Many hesitate to add. UBS said 10 of the Fed easing program was shelled, or be a drag on Japan’s previously announced asset purchase program 5 trillion yen, making the bank the possibility of future expansion of the scale of discount loose.

South African Finance Minister Gordan 9, once again speak up criticism of the Fed’s QE2 plans, and guard against the developed countries of liquidity “release brake”, the emerging economies of the currency will rise, threatening the local export and employment growth.

Bank of Japan “and then loose” add variable

Data show that since the Bank of Japan announced on October 5 the so-called “comprehensive liberal policy” since the yen rise, not fall, as of November 9, the yen has appreciated against the dollar of about 1.9%, which gives the Bank of Japan easing hit a resounding slap in the face.

UBS analyst, said Takuji Aida, Fed States QE2 plan was attacked, which may inhibit the expansion of the Bank of Japan will loose. He also said that because investors tend to be more yen carry trade, that is relatively inexpensive to borrow in Japan to switch to overseas assets. Therefore, the Bank of Japan will lead other countries to ease monetary asset price inflation, this process will enable the bank to consider a radical easing measures become more cautious.

Bank of Japan Masaaki Shirakawa line in the 5th said, “I have realized that in developed economies monetary easing program will give emerging economies, financial markets and the impact of commodity markets.” Chief economist at Nikko Securities Iwashita truth of that remark Masaaki Shirakawa will probably suggest to avoid easing in “Carnival.”

Sumitomo Mitsui said, but in view of the yen against the dollar this year has risen 15%, has hurt the country’s exports and worsening deflation, therefore, compared the Fed’s 600 billion U.S. dollars in bonds to buy scale, the Bank of Japan’s 5 trillion yen (about 610 billion U.S. dollars) it is shame.

The yen’s continued strength this year has been increasingly affecting Japan’s real economy and corporate profits. According to research firm Tokyo Shoko 9, statistics, published in the first half of fiscal 2010 earnings of 813 listed companies, about You Sicheng (323) to the difference between the exchange losses amounted to 269.5 billion yen (about 33 billion), and another 54 companies recorded gains of exchange rate differences, but the total is only 35.5 billion yen. This confirms that appreciation of the yen and Japanese enterprises are being suppressed results.

South Africa criticized QE2

Gordan in the 9th Cape Town, said at a press conference in Seoul, the G20 Summit, countries need to have agreed to “self-interest does not harm people,” the stimulation. He said that currency appreciation would cause a “decline in fuel prices and imported products, but on the other hand, it would endanger the national manufacturing sector of the economy, resulting in rising unemployment.” Gordan said the Fed’s decision “undermines the G20 member countries during the crisis, the leaders agreed to make every effort to safeguard the spirit of multilateral cooperation. “Gordan has the G20 meeting of finance ministers and central bank governors called for national currency in a positive end to” competitive devaluation “and won wide reputation for protectionism .

For Brazil, South Korea, Turkey and Thailand recently adopted in emerging economies such as the exchange rate of capital flow control interventions, Gordan said that developed economies have a responsibility to stop the capital outflow, against emerging economies. “The answer to that question would be is to figure out the multilateral scheme, which allows us to take action on the source of capital outflows, capital inflows can also carry out control.”

Davis, Minister of Trade and Industry recently said that if at the forthcoming G20 Summit, the participating countries could not for now faced by emerging economies to formulate the strong currency the global solution, then the country will be its existing re-evaluation of monetary policy. Accordingly, local media speculated that South Africa may be taken, including short-term capital inflows on the capital tax and other measures.

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