#MarketRebound green wave in the markets: The key in Japanese intrigue?
🔹 Today, the financial markets are showing a noticeable recovery, and the main reason lies in one word: Japan.
🔹 In the spotlight is the upcoming trip of US representatives to Japan to discuss an agreement that, according to official confirmations, is close to finalization.
🔹 Why is this so important? Investors are eagerly awaiting that this agreement will contain two key conditions from Japan.
🔹 A pause or reduction in interest rates: This will instantly ease the pressure on global financial flows.
🔹 A return to active purchases of US bonds: Considering the historical trend (an increase in ownership from $ 573 billion in 2017 to over $ 1 trillion in 2010!), this will ensure stability in the US government debt market.
🔹 Expectations of Japanese oversight over the yen currency market and the carry trade strategy add confidence to investors.
🔹 Therefore, optimism regarding the upcoming agreement between the US and Japan, which could ease Japan's monetary policy and restore its investments in US assets, is the main driver of today's positivity in the financial markets.