🌸 Why has the Japanese yen central bank's interest rate hike become the focus of global investment markets? 🌐

📈 Hello everyone, today we are going to talk about the deep impact of the Bank of Japan's interest rate hike! Recently, the Japanese parliament announced that it will hold a special meeting on August 23 to focus on the issues and strategies related to the Bank of Japan's interest rate hike. This is not only a major event in Japan, but also the focus of global financial markets.

🤔 Why is the yen's interest rate hike so important? First of all, Japan is the world's fourth largest economy (it has always been the third largest economy, but was recently overtaken by Germany), and any monetary policy changes in the yen will have a chain reaction on the global economy. An interest rate hike means an appreciation of the yen, which may attract capital inflows into Japan, thereby affecting global capital flows and investment patterns.

🌟 Secondly, an interest rate hike may also increase global borrowing costs, which is particularly challenging for emerging markets, as they often rely on low-cost external financing channels. In addition, as a traditional safe-haven currency, the yen's interest rate hike may attract more investors when market uncertainty increases, affecting the global preference for risky investments.

💼 From an investment perspective, the yen rate hike may lead to a repricing of global stock, bond and commodity markets. Investors need to reassess the risks and returns of various assets, especially those closely related to Japan's economy and monetary policy.

🔍 So, how do we interpret this policy change? What are its long-term impacts on the global economy? What does it mean for your portfolio? Will it affect investment sentiment in the crypto market?

💬 Come on, let's discuss it in depth! Share your views on the yen rate hike and its global impact in the comments section!

#日元加息 #全球经济 #投资策略 #市场动态

Bitcoin plunges after breaking through $58,000! The reason is geometry? The Bank of Japan's interest rate hike may revive the crisis!

Bitcoin price has experienced significant volatility, especially after breaking above $58,000 before experiencing a rapid pullback. It is currently trading between $56,000 and $58,000. At the time of writing, the price of Bitcoin was at $56,962, with the 24-hour increase narrowing to 0.54%.

There are two main reasons:

One is the yen carry trade. To put it simply, investors take advantage of Japan's low interest rate environment and borrow Japanese yen to invest in high-yielding assets, such as U.S. stocks. However, as Japanese economic data improves, the market expects that the Bank of Japan may raise interest rates, which increases the cost and risk of yen carry trades.

Once the Bank of Japan really raises interest rates, or the market expects to raise interest rates, investors will close their positions one after another, causing asset prices to fluctuate, and Bitcoin will naturally be unable to survive alone.

Second, the Fed’s interest rate cut expectations cannot be ignored. If the Fed decides to cut interest rates, the U.S. dollar will likely depreciate, while the yen will appreciate relatively. For yen carry traders, this means more dollars are needed to convert back into yen, increasing pressure to close positions.

This pressure could lead to a sell-off in the market, further impacting the price of risky assets such as Bitcoin.

In summary, this decline in Bitcoin is a direct reflection of changes in the global macroeconomic environment. When making investment decisions, investors need to pay close attention to the policy trends of global central banks and their impact on market sentiment and asset prices.

#美联储何时降息？ #日元加息 $BTC

The reason for the sharp drop of BTC has been found: The interest rate of the Japanese yen has been raised from 0.25 to 0 since March, and now it has been raised from 0 to 0.25. This series of interest rate hikes by the Bank of Japan is the main reason why Bitcoin stopped at 70,000. When the interest rate of the Japanese yen was negative, global capital borrowed the Japanese yen to exchange for US dollars for arbitrage. Therefore, it is not known how much capital, bigwigs and the government have borrowed from Japan, and how many assets are borrowed from the Japanese yen at 0 interest. The interest rate hike by the Bank of Japan directly made global capital tremble, and found that the Japanese yen could not be borrowed at 0 interest. The first operation is to sell all the assets that are arbitraged with Japanese yen. This has caused BTC to not break through the new high of 70,000 since March, because the Bank of Japan adjusted the interest rate from -0.25 to 0. When 0 is adjusted to 0.25, loan interest needs to be paid. Therefore, the Bank of Japan has indirectly affected the sale of global hedging assets, including gold, BTC, etc., because arbitrage is no longer possible. This is the main reason for the sharp drop in BTC this time. As for how long it will fall, it depends on how long the impact of the Japanese yen's interest rate hike lasts. It may be one year or three years. 。 。 。

#BTC走势分析 #日元加息 #BTC暴跌原因

Shigeru Ishiba elected as president of the Liberal Democratic Party and will take over as Japanese prime minister

Cailian News Agency, September 27:

Shigeru Ishiba, former secretary-general of the Liberal Democratic Party of Japan, won the majority of votes in the second round of voting for the Liberal Democratic Party presidential election on the afternoon of September 27 local time and was elected as the new president of the Liberal Democratic Party. The term of the current Japanese Prime Minister Fumio Kishida as president of the Liberal Democratic Party will end on September 30. As usual, the new president of the Liberal Democratic Party, Shigeru Ishiba, will be nominated by the Diet on October 1 and is expected to take over as prime minister. Shigeru Ishiba is 67 years old and this is his fifth time running for party leader. He worked in a bank in his early years. In his 38 years in politics, he has been involved in agriculture, security, local revitalization and other fields. He has served as secretary-general of the Liberal Democratic Party and chairman of the policy research committee, and is known as a "policy expert".

Shigeru Ishiba advocates the normalization of monetary policy, that is, ending Japan's long-term negative interest rate policy, which will increase the probability of the Bank of Japan raising interest rates.

Forward bearish risk assets.

The extent of the impact depends on the size of the stock of yen arbitrage funds and the degree of the unexpectedness of the interest rate hike.

Nikkei 225 futures fell 5% on the day.

Futures market expectations for the Bank of Japan's rate hike have already risen

#石破茂当选 #日元加息