So what’s the Tl;dr of what’s happening in Japan?
Increased interest rate from 0 to 0.25%
Such a rookie mistake
We still have fish, weather is shit (hot and humid), life goes on 🐶🐾🤣
It all vanished in a flash
the world is addicted to debt japan was the cheapest and most stable lender the world borrowed 20 trillion in USD to buy STONKS, treasuries, CRE japanese yen gained 5%+ in a few days, buffet sold AAPL, the US soft landing narrative collapsed the world is being margin called and the music has stopped
They got roasted
Thank you! I was wondering the same...
“A picture is worth a thousand words” https://image.nostr.build/863e9970107e5b62dcf40e67f759b25981df058d6355936078ff7df544c5ea20.jpg
https://x.com/adamkhootrader/status/1820314551956742240 This is a very good summary.
A fucking butterfly flaps its wings on the other side of the world....
apparently interest rates were so low in Japan, everyone was borrowing billions in yen to buy stocks, basically free money. Then yen went up, and the money wasn’t free, had to sell everything to pay the debt.
unwinding carry trades. must sell off assets and pay back borrowed yen.
boom!
Overall economy (not just the government, but especially the government) has waaaaaay too much debt
Godzilla re-emerging from the depth of cheap money.