It is not that unexpected. Japan economy is in stagnation, they have horrendous public debt - 2nd debt to GDP in the world
(it exceeded one quadrillion yen - US$10.46 trillion in 2013, and that is more than twice the annual gross domestic product of Japan.
No wonder they want to bring back their economy to life by making people to use their money.
Topic: Bank of Japan institutes negative interest rates (Read 2437 times)
Yes looks like new fashion,rates cuted with no limits
Do not believe in USA economy growth.USA economy is slowing,will be not any rates rise
USA economy is in danger of recession,investors may swtch to Yuan
Do not believe in USA economy growth.USA economy is slowing,will be not any rates rise
USA economy is in danger of recession,investors may swtch to Yuan
Man Japan's economy is in a real rut.
Default is now inevitable if you ask me.
When Japan defaults, the global economy will go into a rut.
The entire economy is going into a rut right now, everything is losing value and there is still more and more debt being accumulated, with less money being moved around.Default is now inevitable if you ask me.
When Japan defaults, the global economy will go into a rut.
If any major country defaults, with the current movement of the economy, the world economy will definitely go into a rut. Its brutal for the entire world right now.
NIRP will be coming everywhere soon, EU and Japan have it now and the ZIRP policies of the UK and the US will soon go NIRP when the economy falters.
This will also be teamed with a ban on cash so no one can escape, i.e. you have to spend your money or face it being whittled away in the bank. Stuff like Apple Pay and contactless credit cards is just the beginning.
NIRP - Negative Interest Rate Policy
ZIRP - Zero Interest Rate Policy
This will also be teamed with a ban on cash so no one can escape, i.e. you have to spend your money or face it being whittled away in the bank. Stuff like Apple Pay and contactless credit cards is just the beginning.
NIRP - Negative Interest Rate Policy
ZIRP - Zero Interest Rate Policy
Stock up on Romanian AKs, ammo, potable water, TP & as many copies of Atlas Shrugged as you can lay your hands on
Atlas Shrugged? What's that for, to put you to sleep on demand or bore your enemy to death? That book was so bad I haven't read another book since!
Man Japan's economy is in a real rut.
Default is now inevitable if you ask me.
When Japan defaults, the global economy will go into a rut.
Default is now inevitable if you ask me.
When Japan defaults, the global economy will go into a rut.
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This is why I got into bitcoin. Coming to the US soon too. I'll never pay a bank to hold my money.
Forced inflation sucks especially if your a Japanese vending machine seller, went there and I loved the price and selection of drinks for low cost at nearly every street corner so this irritates me.
It may work though as it forces banks and investors to invest in a recession when the economy picks up those discounted assets they purchased might see a nice appreciation
http://www.marketwatch.com/story/what-you-need-to-know-about-the-bank-of-japan-and-negative-interest-rates-2016-01-29
http://www.latimes.com/business/la-fi-japan-negative-interest-20160129-htmlstory.html
This is why I got into bitcoin. Coming to the US soon too. I'll never pay a bank to hold my money.
i just recently heard about the negative interest rates, i dont understand how they expect people to pay to "invest" their money. why would someone pay to hold their money.This is a 'nudge' from the central bank to take your money out and invest it in the real economy.
If you don't have the appetite, take it out and stuff it under your pillow.
A nudge to get investors to take riskier bets than they otherwise would.
Same here. I will not pay a bank to hold my money. I'd rather buy a safecase and store my money inside. To be honest, I will not look into Bitcoin unless I only have a small amount of money. Simply because Bitcoin is unstable.
I am sure negative interest rates won't last for ever.
If the negative interest is lesser than the cost of the safe, people might still prefer the bank.
It's not so shocking. This has been the norm in Japan for the last 20 years. I'm sure they have had negative interest rates already within that period. Negative interest rates will cause corporations who currently hold cash balances to invest in something and help to spur the economy.
ZIRP is actually NIRP, so I agree, that is not shocking. It has already happened, if we look at the effective interest rates in the US and all European countries. The question is what we are more afraid of in the long-term: a Japan-like 20 year of deflation or (hyper)-inflation?In any case Bitcoin is a good alternative to both.
Same here. I will not pay a bank to hold my money. I'd rather buy a safecase and store my money inside. To be honest, I will not look into Bitcoin unless I only have a small amount of money. Simply because Bitcoin is unstable.
This is why I got into bitcoin. Coming to the US soon too. I'll never pay a bank to hold my money.
also in other country take the money in a bank cost more than the advantage did you get
Wow can they do that? I mean suppose you got a big savings account there, then all of a sudden you have pay big time fees?
This don't sounds fair to me?
This don't sounds fair to me?
they are most likely not going to have to pay anything on their balance.
Worst case it would be 0.1% per year which is almost nothing.
well it depend on the amount, if i have 1M sitting o the bank, 0.1% is quite a big amount(1k per year)
maybe that my retirement and i need to pay to the 1k per year for nothing, why? utterly stupid, i would remove all my funds from their bank
nobody who has 1 mil is going to let it sit in the bank. there are a lot of businesses that people can start with 1 mil and earn way more than 0.1% annually.
those business are even more risky, this maybe was true in the past, not so much with the current crisis, personally i would not invest my whole retirement in anything that is risky
here i'm not talking about someone being rich that can throw at will 1m like nothing for an investment... i'm taling about a man with his retirement, that 1M is everything he have until he will die
Wow can they do that? I mean suppose you got a big savings account there, then all of a sudden you have pay big time fees?
This don't sounds fair to me?
This don't sounds fair to me?
they are most likely not going to have to pay anything on their balance.
Worst case it would be 0.1% per year which is almost nothing.
well it depend on the amount, if i have 1M sitting o the bank, 0.1% is quite a big amount(1k per year)
maybe that my retirement and i need to pay to the 1k per year for nothing, why? utterly stupid, i would remove all my funds from their bank
nobody who has 1 mil is going to let it sit in the bank. there are a lot of businesses that people can start with 1 mil and earn way more than 0.1% annually.
Wow can they do that? I mean suppose you got a big savings account there, then all of a sudden you have pay big time fees?
This don't sounds fair to me?
This don't sounds fair to me?
they are most likely not going to have to pay anything on their balance.
Worst case it would be 0.1% per year which is almost nothing.
well it depend on the amount, if i have 1M sitting o the bank, 0.1% is quite a big amount(1k per year)
maybe that my retirement and i need to pay to the 1k per year for nothing, why? utterly stupid, i would remove all my funds from their bank
This is why I got into bitcoin. Coming to the US soon too. I'll never pay a bank to hold my money.
i just recently heard about the negative interest rates, i dont understand how they expect people to pay to "invest" their money. why would someone pay to hold their money.This is a 'nudge' from the central bank to take your money out and invest it in the real economy.
If you don't have the appetite, take it out and stuff it under your pillow.
i just recently heard about the negative interest rates, i dont understand how they expect people to pay to "invest" their money. why would someone pay to hold their money.
Most people are too dim to think outside the box. And to be fair the alternatives aren't that appetising for your average personage. Cash at home is going to make you sweat. Gold's too volatile and hard to buy and sell. And most people don't have any money anyway. As soon as it's in the bank it goes straight out again.
This is why I got into bitcoin. Coming to the US soon too. I'll never pay a bank to hold my money.
i just recently heard about the negative interest rates, i dont understand how they expect people to pay to "invest" their money. why would someone pay to hold their money. 
This is why I got into bitcoin. Coming to the US soon too. I'll never pay a bank to hold my money.
Beware: I am 99% sure that IF neg interest rates are coming, any US institution (Coinbase, itbit, Kraken) will subtract those rates from your bitcoin held there.
We can't have any nooks or crannies...no, Siree.
Can you imagine if even a small portion of Chinese people start to buy BTC?
Yep Bitcoin will spike, as the flow of Chinese convert CNY into BTC, as means of converting to USD....then as the Capital Flightees notice that their aggregate interest in using BTC to get CNY into USD is pushing Bitcoin up, they may hang around BTC for a while instead of converting right away to USD, this will cause a fast n steady rise, which will encourage yet more capital into Bitcoin, for no other reason than looking to ride the bubble....
.....then some 'negative news event' will hit, and the Capital Flightees will rush to exit BTC and into USD, the momentum chasers will look to cover themselves asap....retard holders will hodl, Bitcoin will crash monstrously, but what comes down at a tremendous pace must surely bounce back up at an almost as tremendous pace, etc etc....same thing we seen time and time before.
Wow can they do that? I mean suppose you got a big savings account there, then all of a sudden you have pay big time fees?
This don't sounds fair to me?
This don't sounds fair to me?
they are most likely not going to have to pay anything on their balance.
Worst case it would be 0.1% per year which is almost nothing.
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