I’m really enjoying the strong dollar and using my US-issued credit cards in Japan to buy just about anything with US dollars. It wasn’t always this way. I can remember back in 1995 when the rate was USD1.00=JPY85 and only about 10 years ago it reached USD1.00=JPY76. So, I’m enjoying my newfound wealth but it’s still nowhere near what it was when I arrived here in the mid-70s, and the rate reached USD1.00=JPY306. Back then my rule of thumb was that $30=10,000 yen.

Still, the strong dollar vs the yen is a rare but probably short-lived treat. As just one example, I recently ate the meal pictured below in a local restaurant in Kyushu. The Japanese price was 1,100 yen but I paid only $8.00 for it with my US credit card. I would guess that a similar Japanese meal in the US would cost about $16.00, or double what I paid. I’m sure there are many US tourists who want to get over here now to take advantage of this. Some are saying that the dollar will keep rising to the low 140 range. How high will it go? Are other FTers in Japan enjoying this newfound wealth too?


$8.00 Japanese teishoku

Looks like a great meal! Indeed, loving this rate and spending a lot on brand items which are suddenly at a huge discount. Not sure how long it’ll last, but now’s the time to book all those pricey suites and buy all those luxury goods if you have the fortunate circumstances to actually be in Japan!

I'm not sure it's as short lived as people think
The Japanese economy is in the dumps and they can't forever increase internal debt with their already massive monetary easing policy
With LDP in power for generations to come there won't be much change methinks

Last week we purchased some new Rimowa luggage at the Rimowa store in Ginza -- since I used my US credit Card -- and had my passport with me I paid no tax -- so I got a $1,400 piece of luggage for about $950 -- we are LOVING this exchange rate and paying for everything we can with our US credit cards - it's like everything is 35% for us!

I hope you’re right.
Yes, but I wouldn't say the US is doing better, would you? It too is printing money like there's no tomorrow, so I wonder how long the strong dollar vs yen will last.

ummmm. The US is raising rates and not sticking its head in the sand about inflation. And they have dramatically pulled back on stimulus so your comment makes no sense. Gas prices have also began to moderate which has been one of the largest items the fed miscalculated. Japan, on the other hand.......

yah. I've been watching the fx comments on the yen/us and yen other currencies and there may be more to go still. Again, given japan has signed no plans to raise interest or moderate its stimulus. It's going to get nasty with inflation. Buckle up.

Gee, sounds like Japan could really use an influx of foreign tourism ĄĄĄ right about now. <eyeroll>

Granted, there are other factors to consider too, but...

Japan`s inflation rate in June was 2.5% vs. 9.1% for the US.
https://tradingeconomics.com/country...inflation-rate

It's certainly not helping that 80% of all US dollars in existence were printed in the last 22 months. Excerpt from article: "Federal Reserve continues to print trillions out of thin air. The US is now on the path of 1921 Weimar Germany."
https://techstartups.com/2021/12/18/...-october-2021/

Makes no sense? C'mon man......

Well if one decides to vacay in Japan, may I suggest you look at ANA, particularly out of JFK in the spectacular "Room" business class suite.

From September onwards, JFK-BKK via HAN is $3700.

You can extend your layover in Tokyo for up to 30 days at the same price.

JAL and ANA both charging $8k for business NYC-Tokyo during the same period, adding Bangkok cuts over half!

I would love to escape the high inflation of the US and come to Japan to live like an emperor on discount. Sad things is, the door is not open!

We probably will see 140 yen to $1 coming, just look at what the central bank of each country is doing.

Once it hit 125 we started using our US-based cards.
Ą10,000 hotel room for $76
Pint of craft beer for $7 (no tip necessary either).

Roundtrip to Okinawa $250

The downside is my salary in dollar terms is not looking that great these days...no more investing money overseas, that is for sure.

Also, overseas flights this summer are in the Ą200,000-300,000 range for Europe and North America (that is economy, NOT business).

Ohh the BKK fares are on the cheap again?? And not even ex BKK? I need to look into this. Thanks for posting. I used to fly ex BKK to SF via TYO monthly.

If it gets to over 140 yen to the dollar, I think it may just be time to buy a Porsche with a US credit card.

haha. BoJ sounds like the fed was months ago. Just wait. Japan will miss the window just like the fed, boc and others when they thought things were transitory. I'll quote you so I can come back to this a little later.