We are ruled by fools.
Toyota Motor, the world’s largest automaker by sales, lifted its annual profit forecast on Friday after almost doubling its net income in the quarter that ended in June…thanks to favorable exchange rates.
Net profit in the Japanese automaker’s financial first quarter beat analysts’ expectations by a wide margin, and underscored the boost Toyota and other automakers have received from the economic policies of Prime Minister Shinzo Abe of Japan. Those policies have galvanized Japan’s export industry by weakening the yen by about 15 percent since last year, increasing the value of products sold overseas.
Toyota actually sold almost 37,000 fewer vehicles in the latest quarter, compared with the same quarter last year…
Toyota now expects…an increase of 54 percent from its net profit last year…
Helped by its strong numbers, Toyota is set to become the first automaker in the world to build more than 10 million vehicles in a single year….
Is our economists learning? For the really slow ones, a recap: Toyota has slow sales around the world, sold fewer cars, but due to a weak Yen, makes a KILLING, and will likely set a RECORD for vehicle manufacturing never seen before on this planet.
You see, WE could be the ones selling our manufactured goods around the world, filling the demand gap left by the collapse of the housing bubble.
But instead we’re letting the rest of the world eat our lunch while we are still at the bottom of the recession while listening to ignorant politicians talk about a strong dollar so we can get cheap Chinese junk at Walmart instead of jobs for Americans.