-
Why Japan’s Rate Hike Could Reshape Global Flows — and New Bitcoin Rally
For decades, a silent engine powered global finance: Japanese capital, borrowed for near-zero rates, flooding into higher-yield markets like the U.S., Australia, and emerging economies. The “yen carry trade” wasn’t just a strategy — it was a multi-trillion-dollar force shaping everything from bond yields to currency flows. At its peak, Japanese investors held over $1.1 trillion in U.S. Treasuries, outpacing even China. Pension funds, hedge funds, central banks — all leaned on this trade to extract stable yield and fuel global risk appetite. But in 2025, the script flipped. For the first time in nearly two ... (full story)