🚨 JAPAN’S PRESSURE COULD SPARK A GLOBAL MARKET SHOCK 🚨
What’s unfolding in Japan is not speculation anymore — it’s a liquidity problem. The Bank of Japan is under intense pressure to defend the yen, and verbal interventions have failed. To stabilize the currency, real cash is needed, and that cash sits largely in foreign assets. This raises the risk of large-scale selling of U.S. bonds, equities, and FX reserves. Such moves would tighten dollar liquidity, push volatility higher, and force rapid repricing across global markets. This wouldn’t be a healthy correction but a forced adjustment. When a major central bank sells at scale, prices stop mattering. Markets don’t ease lower — they gap, react fast, and cascade.
