Well we seem to have gone up around the same time, no harm in that. I would just underline that this is not simply an export directed intervention, but an anti deflation one, and that Bernanke himself has this on his list of “to do’s” if it should prove necessary.

Now we need to see just how much pain Japan is willing to stand before doing likewise, basically CA surplus countries who are willing to simply print money for interventions are in a stronger position than CA deficit ones. And how long will China stand the pain? Lots of interesting situations only just round the corner.

Either the next G20 will take concerted and decisive action or the thing will break lose at the edges. The G20 is unlikely to do anything of the kind, so…..

Probably we’ll get some sort of watery statement about the need to do something about tax havens and the like. ….. Then watch out.

Turning and turning in the widening gyre
The falcon cannot hear the falconer;
Things fall apart; the centre cannot hold;
Mere anarchy is loosed upon the world,