gm, the mfers at the Bank of Japan are juggling interest rates with less finesse than the self-esteem of a teen considering gang life, in what appears to be a laughably weak attempt to boost the economy, they might drag everyone into admitting, "fam recession's in the house." classic government punchline ain't it?
the yen been acting like that dude at 5
9am post-rave – stumbling and unsure where they are, what name and what happened yesterday but wallet is empty, rumor has it they’re having a late "aha moment" (finally)
doing classic bank move punping Sky-high those interest rates, Japan’s central bank might just loosen its stranglehold on the bond market soon, especially with the yen hitting a 33-year embarrassment and government bond yields getting frisky – highest in a decade
they say people at BoJ, the same ones who've enjoyed the exclusivity of not touching their interest rates for two years (yeah, sitting pretty at minus 0.1%), are now feeling the heat. U.S. Treasury yields are acting all snooty, at their highest in 16 years because the yen’s dance with the dollar crossed the wild ¥150 mark, hinting at inflation with imported goods becoming pricier.
Aaaand... just when you thought it couldn't get more entertaining, currency traders are watching the BoJ's every move. Will they play it cool or just slap on a Band-Aid with some superficial yield curve tweaks? The consensus?
potential hawkish turn might be on the horizon, even Ueda's chipping in, hinting that wage growth's influencing prices
🇯🇵 core inflation took a dip last September, but some big brains are saying it might stick around longer than our BoJ buddies predict, investors peeping at Japanese bond yields because, turns out, Japanese institutions have their fingers deep in US and European debt pies. If Japan starts looking attractive, expect a sell-off fiesta in other bond markets
as this drama unfolds volatility might reign a little bit
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