China Power felt in Japan, FINALLY

If you are a news junkie like me, or you have been following what's going on for the past day or two, you would have noticed that one world has been echoing a same word-Shanghai.

The reason? Shanghai stock index plunged and it affected the world, from Russia to Brazil, from main street to Wall Street, the World stock markets trembled by Chinese stock markets. I am also impressed by reaction from the Japanese. At first, Tokyo Stock Exchange seemed to be unaffected at all, it was a rule of thumb that when the U.S. snoozes, Japan catches cold. So Shanghai seems to be a very unlikely candidate to affect Japan. It seemed that it worked just like that on Tuesday, Feb. 27th, the day when the two Chinese stock markets, Shanghai and Shenzhen both dropped nearly 9%, 100 billions evaporated within a single trading day. Located in the time zone that is only one hour away from Shanghai, Tokyo market had its own business as usual, the market barely moved.

However, the China power is not going to let Japan unnoticed, when it dropped European market index to over 3%, and brought down Dow Jones Index to 416 points lower, the Tokyo market simply couldn't be business as usual anymore, it dropped more than 600 points, and the downward trend extended to the day after.

It reminds me how Tokyo reacts to China's rising, every time after uproars from Washington, Japanese starts to make a point to Beijing, too. In such issues such as Taiwan, North Korea, Japan is also closely following the U.S, it is why the Chinese believe that to solve problems with Japan, it has to go through Washington.