Host 3: Patrick, we’ll see your best cents about how the Japanese export sector the…big names like Canon, Mitsubishi, the car makers are holding up the mirth the downturn in the US and the broader very grim macro-economic environment.

Patrick Mohr: Sure…it’s going to be tough. On the one hand, these are great companies that have been beaten down…some of Japan’s best companies…some of the best companies in the world…that have been beaten down. I mean if you can take a long term view, I think it’s a great buying opportunity. Having said that, one of the things that’s not coming out in a lot of dialogue because we’re all so focused on what’s going to happen tomorrow, we’re giving all the volatility, is that financial conditions lead the economic conditions in the United States by about 9 months so given how tight lending is at the moment, you know CAPEX and jobs are going to be tight going over the next 9 months. That’s not good for Japanese exports I’m afraid.

Host 2: What is the foreign money doing? Is it pulling out because we know there’s a heck of a lot of redemptions, repatriation… pulling out money from EM and back home, does that hold for Japan too?

Patrick Mohr: Yes, absolutely. You know the quantitative work that we’re doing points to a few things: one, flight to safety. You know balance sheet quality. The other thing is that stocks that are widely held by foreigners are being beaten down the most and that’s just simply because you can’t sell what you don’t own and the foreigners are pulling out and the stocks that they own are being beaten down the most.

Host 1: Patrick thank you very much for joining us...