Beware this week, the impact of Japan's interest rate hike on Friday!
The Bank of Japan may raise the policy interest rate to 0.5% at the meeting on January 24.
1. If the interest rate is raised to 0.5%:
- The Japanese stock market may plummet instantly, dragging down the Asia-Pacific markets, and the U.S. stock market is likely to decline, with cryptocurrencies likely following suit.
- If the market has already priced this in, a rebound may occur after a short-term drop, depending on whether it exceeds expectations.
2. If the interest rate remains unchanged:
- Global market risks are alleviated, operating according to the current trend.