Do you know?
Why are the major financial markets thriving today? Here’s the main reason:
One of the key factors behind the market's rebound today:
BISENT is heading to Japan to discuss a potential agreement between the United States and Japan.
The United States confirmed today that this agreement is nearing completion.
The importance of this matter:
Investors expect the agreement to include the following:
Temporarily halting or even lowering interest rates in Japan.
Japan resuming purchases of U.S. bonds.
This is not unlikely, as there is a precedent:
Japan's holdings of U.S. bonds rose from $573 billion in 2007 to over $1 trillion by 2010.
What does this mean for the markets?
Such a deal would ease investors' concerns about trading the yen with leverage.
Investors are now closely monitoring Japan for signs of agreement on its monetary policy.
#GlobalMarkets