Bank of Japan’s Capitulation Perturbs Global Bond Market | Weston Nakamura
Forward Guidance
00:00
Why Is Japan Going to Default on Its Debt?
Japan's central bank has offered to buy 10 limit 10 year JGBs on limited size at 25 basis points every single business day, essentially forever. The demographics are such that and the sort of immigration policy or lack thereof, especially the Japan, you are not going to get paid your principal. So they have to keep borrowing just the services that let alone as obligations. And so this is not something that politicians are like pork barrel spending or whatever it is. It's just to maintain...and operate as a country.
Transcript
Play full episode
