🚨 BREAKING: JGB YIELDS JUST WENT VERTIC… · @0xReflection

🚨 BREAKING: JGB YIELDS JUST WENT VERTICAL Japan 40Y: 7.31% Japan 30Y: 8.50% Japan 20Y: 6.87% Japan 10Y: 3.67% With each passing day, the situation worsens If you hold US stocks, bonds, or crypto - READ THIS It could save you a lot of money: Japan has remained the largest creditor of US since early 2000s If it becomes unattractive for Japan to invest in US Treasuries, a major liquidity gap could emerge. Here’s why Top 5 holders of US Treasuries: ➮ Japan: 12.8% ➮ UK: 9.4% ➮ China: 7.4% ➮ Canada: 5.1% ➮ Belgium: 5.0% US Treasuries could lose 12%+ of their purchasing power in a year with record debt issuance Why has Japan been the top US creditor for 20 years? Because JPY was turned into the cheapest major global currency The setup was simple: ➮ Japan kept rates near 0% ➮ Investors borrowed cheap JPY ➮ And bought US bonds, stocks, and crypto Basically, you were given almost free money to invest in US Treasuries (with zero default risk) while keeping the profit. A legal money printer. However, as JGB yields rise, this model stops working. This creates several problems: ➮ 1st, it becomes less attractive for Japanese investors to buy US Treasuries when domestic bonds offer similar yields ➮ 2nd, a stronger yen combined with higher JGB yields triggers liquidations among investors involved in carry trade To avoid margin calls, they are forced to sell their most liquid assets to repay debt (US Treasuries) In a year of record US borrowing, this means loss of a key buyer and growing pressure on the bond market The question is the same: Who will keep buying US debt in the coming years? I constantly monitor markets & have predicted most major crashes Follow me with notifs on, I'll keep you posted