🚨🚨Japan’s Historic Rate Hike Triggers Massive Market Sell-Off!😳😳😳

Major Market Dump Alert!

The Real Culprit Behind the Market Slump: Bank of Japan’s Rate Hike!

- Unemployment Rate? Not the culprit

- WWIII Fears and Genesis Selling? Not the main issue

- Bank of Japan Interest Rate Increase? Big Impact!

For the first time in 17 years, the Bank of Japan (BOJ) has raised its interest rate! This move marks the first rate hike since 2007, right before the US faced a major recession.

Why is This Bearish?

Japanese investors had been capitalizing on Japan’s zero-interest rates by borrowing yen to invest in higher-yield assets abroad, including US equities and cryptocurrencies. With the new interest rate hike, the cost of borrowing yen has surged, making these foreign investments less appealing. Consequently, investors are selling off their overseas assets and bringing their funds back to yen.

What’s Next?

If the BOJ or the Federal Reserve (FED) don’t cut rates soon, we could see continued market declines. Keeping an eye on these central banks’ policies will be crucial to gauge future market movements.

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