Thursday, September 17, 2015

S&P Downgrades Japanese Debt

S&P, citing weak economic growth and indirect a failure of Abenomics, has downgraded Japan's sovereign debt one notch from AA- to A-plus. This move adds to the growing list of sovereign debt downgrades that only S&P appears to recognize.

A cascading failure of debt, pushing outward from Europe and similar to the early years of the Great Depression, will send capital fleeing to the relative safety of the US. Flight of capital will concentrate trends in US Stocks and the dollar.

Headline: S&P Downgrades Japan

TOKYO—Standard & Poor’s on Wednesday lowered Japan’s sovereign debt rating one notch, in the latest sign of concern about Japan’s economic prospects nearly three years after Prime Minister Shinzo Abe took power.



Market-driven money flow, trend, and intermarket analysis is provided by an Insights key.