What's happening in the markets? The holiday period is over, and tensions have immediately flared up again: Japan and the US had intervened in the currency market to prop up the yen. This currency has fallen well below purchasing power parity, leaving many of Japan's trading partners feeling they are facing unfair competition from Japan. Moreover, this situation does not suit Japan either, since Japan has to import large quantities of raw materials, particularly oil and gas. Prices for these in dollars have risen sharply over the past period, but in yen even more so. This is pushing Japanese inflation up considerably. The Bank of Japan has therefore...