Japan level 9 earthquake on Richter Scale, the damage continues to grow. Miyagi prefectural police made the judgement that the earthquake and resulting tsunami will certainly lead to thousands of people died on March 13th. Tokyo stocks market has started to slumped on March 14th. The Japanese central bank currently has injected 7 trillion to stocks market urgently.
The earthquake disaster in Japan suffered heavy losses to the Japanese mainland, it will also affect the international political and economic situation in the future. People will worried about the global economic recovery which is just re-stabilize. In addition, China, Japan, South Korea and India leading the Asian Regional Economic Integration in East Asia and will thus speed up in the process, the U.S.dominance in East Asia will be weakened. First, because of the disaster , Japan's GDP will be drastic shrinkage in short term, as theworld's third largest economy and the largest debtor in the Japanese economy has shrunk, is bound to drag on the growth of global economic. Second, commodity prices is continuing to rise on the previous basis. However, the Bank of Japan through the "print money"way to carry out earthquake relief and reconstruction. from the appreciation of the channel is bound to lead to return to the yen depreciation cycle, which contribute to global over-expansion.Third, countries have to review or suspend the nuclear program, and even nuclear power plant shutdown, the short term is bound to increase pressure on global energy supply, as previously in the East and North Africa the situation has dramatically pulled up international oil prices to oil prices as a sign of the energy crisis.
http://www.nytimes.com/2011/03/18/business/18norris.html?ref=business
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