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Japan's long-term government bond yield reached 3% for the first time in roughly 30 years, and Asahi Shimbun's December 2 editorial declared that the Takaichi government's fiscal management has hit its limit and that investors dumping JGBs is only natural, while also telling Washington to stop blaming yen weakness for Japan's bond stress. A domestic media consensus that fiscal discipline has broken down raises the odds that BOJ tightening gets priced further, which lifts global term premia, compresses the yen carry trade, and pressures high-beta risk assets including BTC and ETH through funding-cost and repatriation channels. Watch whether USD/JPY breaks lower on hike expectations rather than higher on fiscal-credibility loss, since the second path would mean bond and currency weakness together and a far more disorderly spillover into UST yields and equities.
As a Macro signal, watch whether it changes price action, volatility, or flows around JPY=X, BTC.
Original Source: 연합인포맥스
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