John Mauldin thinks Japan has fired the first shots in a currency war that is going to have ramifications for economies across the globe.
Mauldin thinks that the real currency war is going to start when the Yen gets to 115 or 120 per US dollar and Japan shows no intention of slowing it down.
Mauldin further says that Japan is in a crisis, the country is running up against the limit of the amount of money it can borrow. Japan's only real option to get out of its debt crisis is to devalue its currency.
The Yen weakening is not going to be a short term phenomenon.