🔥IMPORTANT🔥
👀This topic is of UTMOST IMPORTANCE.
Why is it RELEVANT to closely follow what happens in Japan and what is the GREAT NEWS we have⁉️
“When Japan sneezes, global markets can catch a cold.”
👉Japan is extremely important for several reasons:
🔹Japan has been at near 0% interest rates for decades. It is estimated that loans in yen amount to about 20T dollars.
🔹If Japan raises interest rates, it is considered a reduction of liquidity in the global system. If it lowers them, it is interpreted as an increase in liquidity.
🔹Additionally, Japan is the country that holds the most U.S. bonds, and recently we saw how they threatened to sell those bonds.
🔹Selling those bonds would raise Treasury bond yields, which in turn would increase overall interest rates and negatively impact the U.S. economy.
What is the latest news about Japan⁉️
🎯In light of the concerns over that unexpected threat from Japan, we now find that trade agreements between the U.S., Japan, and South Korea are closed, according to Fox Business and Bloomberg.
🎯Details will be discussed soon. Remember that Trump is going to announce a major trade agreement when he returns from the UAE.
📍This agreement would reduce fears that Japan will sell U.S. bonds, which would be chaotic for the U.S. economy and financial markets.