Shinzo Abe Superman Central Banker | Exploring Markets

Shinzo Abe Superman Central Banker

For now, Japan's central banker Shinzo Abe is a super hero. In fact, this week's Economist cover was dedicated to him. It shows him flying through air with a Superman like outfit on.

Since Shinzo Abe began his incredible quantitative easing plan the Nikkei has exploded higher, and the Yen has fallen to multi-year lows. Many experts are applauding his move to unleash a massive package a quantitative easing. The country is exuberant about the recent stock market rally.

But it is prudent to remember "pride goeth before fall", and also that the army general looks brilliant as long as the plan keeps working.
Mr Abe is electrifying a nation that had lost faith in its political class. Since he was elected, the stock market has risen by 55%. Consumer spending pushed up growth in the first quarter to an annualized 3.5%. Mr Abe has an approval rating of over 70% (compared with around 30% at the end of his first term). His Liberal Democratic Party is poised to triumph in elections for the upper house of the Diet in July. With a majority in both chambers he should be able to pass legislation freely.

http://www.economist.com/news/leaders/21578044-shinzo-abe-has-vision-prosperous-and-patriotic-japan-economics-looks-better