Thanks to industrial booms in China, India and other developing nations, today’s consumer enjoys reasonable quality yet affordable Eastern goods than those used to be manufactured in the US after the Second World War.

July 22, 2010 (Hamsayeh.Net) - Following the US Federal Reserve chairman’s dreary outlook for the economy thus forecasting a prolonged period of unemployment, the US dollar quickly fell against the Japanese yen during today's trading.

The rise of Japanese yen is a further blow to its US exports and  would certainly make Japan’s deflationary cycle even more exasperated. On Wednesday, Ben Bernanke delivered his semi-annual report to the Congress in which he said the economic outlook for the United States remain quite uncertain until at least 2012 or almost near end of Obama’s term. 

Bernanke said, ‘we recognize that the economic outlook remains unusually uncertain. We will continue to assess ongoing financial and economic developments and remain prepared to take further policy actions as needed.’ Adding, ‘If the recovery seems to be faltering, then we would at least need to review our options, and we have not fully done that review.’ Official unemployment remains at 10 percent but real unemployment is at least twice that number.

The US economy has lost over 10 million jobs since the collapse of a real estate bubble in 2008 and the Obama administration while understanding the impossibility of the huge task of job creation has been busy manipulating actual statistical figures and giving Americans thin-air type promises. One of the reasons for loss of jobs in the United States is the outsourcing of nearly all labor intensive manufacturing jobs overseas.

Thanks to industrial booms in China, India and other developing nations, today’s consumer enjoys reasonable quality yet affordable Eastern goods than those used to be manufactured in the US after the Second World War. 

The bleak picture of the US economy painted by the Federal Reserve chairman helped decrease dollar's value to 86.43 against the yen. It is expected this trend would continue in the coming days until the dollar hits Y85. Japan is currently mired in a vicious deflationary cycle, meaning because of widespread uncertainties, people in Japan have stopped shopping, which in turn puts a lot of pressure on their prolific manufacturers with excess goods on the market.