The Long Climb in JGB Yields Is Nearly Over
JGB yields saw a historic rise between 2022-2026. Most of the rise came from higher inflation expectations and a normalization of term premia. Our...
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Japan's Fiscal Vigilantes Are Misreading the Curve
Japan's super-long JGB curve inverts due to low-coupon bonds trading at a premium, not fiscal fear. We see evidences that suggest investors are...
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BoJ Tankan: Signs of Continued Reflation Open Doors to Additional BoJ Rate Hikes
June Tankan revealed better-than-expected business condition and a rise in inflation expectation. Such news call for faster rate hikes. We forecast...
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Japan IP: A Thin Silicon Lifeline
Japanese manufacturers are keeping its production up despite the global supply chain shock. AI demand is adding a thin but important boost. Such...
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BoJ Steps Up Its Verbal Yen-Intervention: Expect Faster Rate Hikes
Faced with a weak yen and upside inflation risk, the BoJ is breaking its taboo on linking rates to the yen. We pull our next two hike calls forward...
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