Government bonds just got interesting
Many Happy Returns
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Japanese Government Bond Yields Are Going Vertically
Japan has a policy called yield curve control, where it's decided that the japanese ten year government bond should be pegged to a rate of nort point two, five %. And what's happened lately is it's just had to print an enormous amount of money to maintain that peg. So they're having to buy more and more of their own government debt. If you look at their monthly purchases, the graft is literally going vertical. And somehow it's got to unwind that position, which it still s, i believe.
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