Relief In Sight For Aussie Importers, Car Enthusiasts Ect Ect

[Marco-R34GTT]

Japan exports drop 45% to new low!

http://news.bbc.co.uk/2/hi/asia-pacific/7909248.stm

  Quote

Japan also had a trade deficit of 952.6 bn yen ($9.9bn; £6.8bn), the lowest figure since records began in 1979.

The demand for Japanese cars in particular dropped by 69%.

Demand for electronics and other goods has also slumped as global economies and consumer spending contract, pushing Japan deeper into recession.

I know this sounds bad, but with the Aussie dollar taking a wholloping over the last 5/4 months or so, this appears to be some relief in the short-middle term. If you understand how currency values fluctuate in the international market, you would see these export figures as a powerful and telling indicator that the Japanese Yen is likewise poised for an even greater fall.. So with less demand for Japanese products, also brings about in a depleation in demand for the Japanese currency, with a fall in demand also comes a drop in value. Therefore, if the value of the Japanese Yen is to drop, then even against our somewhat weaker Aussie dollar, imports from Japan (Electronics, Cars, Parts ect ect) should hence become cheaper for us once again!

*toot*

Edited February 25, 2009 by Marco-R34GTT

[Stinky Rooster]

how will this affect other things close to our hearts, such as cake, on the global financial indications?

[Marco-R34GTT]

Well that depends if the cakes are being imported from Japan or not....

[hoony]

won't our dollar be low still as it was before, $1 AUD is still only buying 96 YEN whereas only a bit more than a year ago the AUD was buying as high 107 YEN?

someone please let me know, how will it look for exchange rates seeing as though Australia's economy is going okay where Japan's economy is going into recession?

[changi]

  hoony said:

won't our dollar be low still as it was before, $1 AUD is still only buying 96 YEN whereas only a bit more than a year ago the AUD was buying as high 107 YEN?

someone please let me know, how will it look for exchange rates seeing as though Australia's economy is going okay where Japan's economy is going into recession?

if you can get 96 yen for 1AUD, take it, then run!!!..

[Marco-R34GTT]

  hoony said:

won't our dollar be low still as it was before, $1 AUD is still only buying 96 YEN whereas only a bit more than a year ago the AUD was buying as high 107 YEN?

someone please let me know, how will it look for exchange rates seeing as though Australia's economy is going okay where Japan's economy is going into recession?

Here is a good sight Andrew.

http://www.ozforex.com.au/

$1AUD is currently buying 63.5 Yen.

AUD vs JPY over the last 12 months:

http://www.chartflow.com/fx/historybasic.asp

Edited February 25, 2009 by Marco-R34GTT

[hoony]

umm... 63.5Y excuse me

i withdraw what i said, i didn't know it dropped so dramatically

that sucks

[Stinky Rooster]

japanese cakes rock my pants man

but srsly, with the whipping the australian dollar is getting at the moment, I dont think we can hope to see any real improvement, especially one that is going to be reflected in the price of parts, any time in the hear future. The price of cars is gonna takew a bit of a hit, but the truth is, even with the AU in freefall over the last 6 months, importing hasnt actually gone up in price anywhere near as much as you would expect, ergo we are already seeing the cost savings in that area.....

[-Dukes-]

I was waiting for this to happen, I knew the Japanese would start to feel the heat eventually.

[OzCarImports]

I think if the AUD/YEN it will still only be around high 60's - low 70's at very best for the moment 5 piont swing helps alot, the problem is though that the Japanese are buying alot of the 2nd hand stock and also new cars aren't selling, making it hard to buy good quality 2nd hand gear to send here - be interesting to see where it all ends up over the next six months.

Edited February 25, 2009 by OzCarImports

[Marco-R34GTT]

JAPANESE INDUSTRIAL OUTPUT PLUNGES!

Looks like our Japanese friends are in for some rough economic times.. This reiterates my point that a fall in the Yen should soon follow..

Here is some basic economic theory as to HOW this happens and what causes currencies to fluctuate on the international market..

http://en.wikipedia.org/wiki/Exchange_rate

[rtune]

  Marco-R34GTT said:

JAPANESE INDUSTRIAL OUTPUT PLUNGES!

Looks like our Japanese friends are in for some rough economic times.. This reiterates my point that a fall in the Yen should soon follow..

Here is some basic economic theory as to HOW this happens and what causes currencies to fluctuate on the international market..

http://en.wikipedia.org/wiki/Exchange_rate

the fall in the yen (against USD) has already happened, down 8% for the week. However this isn't good news unless

you're american as it outlines that the ONLY safe place for money is now the USA, not switzerland, not Japan (and not australia).

So the aussie isn't going to shoot up anytime soon and it needs to, to make a dent on these import prices.

[reNEGaDe88]

July last year 1 AUD to 100 Yen, Now 1 AUD to 55 Yen.

Meh give it a few months and it will even out again.

But no more america or china. India wins

[quiksta]

What you also have to remember is that the AUD was ridiculously overvalued when it was buying around 100 YEN last year. Don't expect these kind of numbers again.

[Ehgriez]

The Yen is over valued as well though, I remember honda was calling for the japanese government to decrease the value of the yen or they were threatening to move offshore.

Hopefully we will see the yen come down in value which will offset the terrible AUD

[rev210]

Japan is a very large trade partner.

Japan's industry based on product supply from us = secodary and tertiary

Australia supplies primary product for this. Primary products attract the lowest value add.

If Japan gets a currency flogging so do we. It's not getting better anytime soon. There is still room for it to get worse.