Japan’s Aso - US rate hike would have a big impact on Asia

Japan’s Finance Minister, while speaking in Parliament today said an interest rate hike in the US would have a big impact on Asia.

We cannot agree more with Aso as rising rates in the US could mean trouble for Asian countries with high current account deficit and where corporate carry dollar denominated loans on their balance sheet.

As for Japan, rate hike in the US means weak Yen and high exports.