The Governor of the Bank of Japan makes a statement: Will the global markets tremble?
This afternoon, BOJ Governor Kazuo Ueda said that interest rate hikes should be implemented at the right time, and also mentioned that delaying the hike would require a more aggressive move later. This is very similar to Powell's recent remarks, both emphasizing "tightening monetary policy without delay, or the consequences will be more severe." Many suspect that they might have coordinated in advance, with such a coincidental timing, it feels like they are aiming to suppress certain asset prices. Thinking carefully, this is not just an economic decision but more like a macro game. Japan is the last major economy to maintain ultra-loose monetary policy. Now that it plans to raise interest rates, it’s equivalent to major global central banks tightening the "water tap." Once the liquidity tightening expectation forms, it will be a precise blow to market sentiment. In crypto terms, this is like "pumping out" the market supported by leverage funds; stock markets, forex markets, and cryptocurrency markets cannot escape. If there is real coordination behind the scenes, it’s a financial war—synchronously tightening to pressure opponents’ asset prices and create external stress. Over the past thirty years, Japan relied on cheap yen as a source of global arbitrage funds. Now that this has suddenly shifted, it’s like closing the low-cost capital channels, which is a "cut-off" for markets relying on foreign capital inflows. I might sound a bit conspiratorial, but don’t just believe their surface reasons like inflation targets or delaying risks. What really matters is that major central banks are highly synchronized with the US. Once they form a united front, short-term market volatility will definitely increase, and the pressure on our peripheral markets and risk assets will be significant. Everyone needs to stay alert.
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The Governor of the Bank of Japan makes a statement: Will the global markets tremble?
This afternoon, BOJ Governor Kazuo Ueda said that interest rate hikes should be implemented at the right time, and also mentioned that delaying the hike would require a more aggressive move later. This is very similar to Powell's recent remarks, both emphasizing "tightening monetary policy without delay, or the consequences will be more severe."
Many suspect that they might have coordinated in advance, with such a coincidental timing, it feels like they are aiming to suppress certain asset prices.
Thinking carefully, this is not just an economic decision but more like a macro game. Japan is the last major economy to maintain ultra-loose monetary policy. Now that it plans to raise interest rates, it’s equivalent to major global central banks tightening the "water tap." Once the liquidity tightening expectation forms, it will be a precise blow to market sentiment.
In crypto terms, this is like "pumping out" the market supported by leverage funds; stock markets, forex markets, and cryptocurrency markets cannot escape. If there is real coordination behind the scenes, it’s a financial war—synchronously tightening to pressure opponents’ asset prices and create external stress.
Over the past thirty years, Japan relied on cheap yen as a source of global arbitrage funds. Now that this has suddenly shifted, it’s like closing the low-cost capital channels, which is a "cut-off" for markets relying on foreign capital inflows.
I might sound a bit conspiratorial, but don’t just believe their surface reasons like inflation targets or delaying risks. What really matters is that major central banks are highly synchronized with the US.
Once they form a united front, short-term market volatility will definitely increase, and the pressure on our peripheral markets and risk assets will be significant. Everyone needs to stay alert.