/biz/ - Business & Finance

>>52946942
Buy Ethereum and thank me later.

>>52946942
buy chainlink, hate me later

>>52946942
Britcucks are next, followed by credit suisse/deutche.
Us treasuries suddenly become available everywhere, causing the value to plummet.
China dumps their holdings all at once, while announcing a cutoff of all trade with america, and then sending every fucking asset they have to take taiwan in the middle of the night.
The Gay american empire gets cucked to death, china takes taiwan, ukraine collapses to russian advances, and if Xi is based; he nukes every fucking city in israel with a population over 5,000 people.

>>52946975
back to the sweatshop, chang
china cannot survive without the west and vice versa

>>52946975
None of that is going to happen.

>>52946942
The world's financial powers are at war and the Fed is playing whale games with by rugging global liquidity, pressuring every banking system because they have been forced to lend at low rates for years and are now being told to eat shit. Japan rugpulled its bondholders to save the Yen from death, however this is only buys time for a little while, because again like every other nation they still have a massive debt crunch they can't pay even though the Fed is psychopathically turning the screws on everyone's nuts

>>52946975
Cringe except for the nuking israel part.

>>52946975
Plz make israel nuking real. I need this.

>>52946989
But majority of Japan's debt is owed to its citizens no ? instead of any foreign powers.

>>52946975
cringe

>>52947029
a story in two headlines
lmao

>>52947037
ok jew

>>52946975
>Us treasuries suddenly become available everywhere, causing the value to plummet.
Why?

>the range is now .5 instead of .25
it's fucking nothing!

>>52946942
invest in gold right now

>>52947038
Sorry as a bond brainlet this is what I understand from this situation.
Bond yield goes up , Price of Bond goes down.
High int rate + cheap Bond = less Yen in circulation
Less Yen in circulation = Yen goes up, stocks goes down
So this is why its bad ?

>>52946975
thats not how you use a semicolon

>>52946975

>>52947119
one issue is yen's purpose as liquidity grease in our gay economy, people have borrowed yen at negative rates and used it to buy dollars, they get dollars and their debt actually goes down over time because the yen depreciates. it was the world's own nation state level terraluna anchor bullshit. if people are scared that the gravy train is ending they will buy back yen to pay back their debt and/or offload bonds so they can fuck off, which will spike yen demand and kill bond and stock prices. japanese banks are also already ballsdeep holding foreign bonds into massive losses.
https://www3.nhk.or.jp/nhkworld/en/news/backstories/2032/

literally a ponzi scheme that boomer retards think is awesome and legit because experts say so. it will continue to unravel if the Fed keeps this up (although I personally think that they are being truthful when they say they are decelerating the pace of hikes and will hit peak in the next few months - for now, at least)

This is good news for my japan stocks long term once the initial selloff is over. One year from now japan stocks will be much higher now that their interest rates will be closer to normal. My japan dividend payouts will also be larger.

>>52947028
Technically, the world needs this, not just you.

>>52947196
Thanks anon, that makes sense. Appreciate the response

>>52946942
Bond spreads blowing out -> economic collapse among half of the world. Central banks have been holding yields down everywhere, but now the US has betrayed and everyone has to follow, or get hyperinflated.
The imperial center supplied the whole world with Chuck E. Cheese tokens, and now that it needs them to get sucked up, it rugs its own money flow, which will be painful for it, but it's well prepared, relatively speaking. The peripheries, to whom this had always been a "gift" (insofar as you can talk about selling oil, copper, and coconuts for some numbers in an Excel sheet with dollar-signs on it as a "gift"), will just outright collapse, with many experiencing dollar-hyper-deflation and local-currency-hyperinflation in the future.

>>52947119
Even bigger brainlet. Why does the bond price decrease with yield increasing? Shouldn't the bond be more tempting with higher yields making the price spike up? Or is it that there's fear that the yield can't be actually paid?

>>52947196
But isn't this scenario getting more profitable with the fed rate hikes? Dollar demand is growing all the time. Probably more so with euro constantly depreciating? In general it seems Japan and Europe will descending fastest in the near future

>>52946989
Basically this, though I wouldn't attribute it to psychopathy. Just business (with the lives of billions).
>>52947325
>Why does the bond price decrease with yield increasing?
If you get $110 from a bond over 10 years and bought it for $100, you have a 1% yield (per year; ($110 - $100)/$100/10 = 1%). If you bought it for $90, then your yield is ($110 - $90)/$90/10 = 2.2..%.
If you pay less initially, then each coupon payment is "more bang for your buck", which means the yield is higher. It's the same with dividend stocks: you want to buy them cheap, because, relative to buying price, the dividend payments will be higher.

>>52947325
the less people the higher the yield, when yield go up more buyer want in reducing the yield.

>>52947325
The market is not tempting because the price is low, the price is low because the market is not tempting. When modern bonds were introduced in the US in WWI, the government used to offer a fixed rate on all bonds, but afterwards, it was changed to an auction format. Bonds are sold off at auctions to the higher bidder, so if yields rose, that means that people were only willing to pay that much in the past. Your mistake is that you reversed causation.
The yield that you see is not the opening price, it's the closing price.

>>52947119
Yields would realistically go far, far higher than 0.035% from 0.025% (what fucking ridiculous numbers) to stem the flow of depreciation.
Imagine you see a guy throwing a bucket of water on a burning building. You might think "now there'll be less fire!", which is, in isolation, true, but why did he throw the water on the building in the first place? Because the whole fucking place is on fire. The bucket of water being thrown is evidence of there being a very big fire-problem.

>>52946942
wait so eli5, did BoJ pivot (reduce cost to borrow) or follow US etc. (increase cost to borrow) i am big confused

>>52947344
BoJ insists this isn't a rate hike and they aren't going to suddenly jack up rates, but it is and they did, for the first time in like 20 years, which is going to spook people who saw the yen carry trade as ironclad. BoJ struggling also has worrying implications for fiat, including the dollar, although I doubt many people are looking that far ahead

>>52947354
>>52947358
Ah, I see. So basically the demand gets destroyed.

>>52947386
they "pivoted" into a hike, they were the last major bank to hike

>>52947406
ah i see, so they hiked (like the rest) but because its japan who never every hike, its called a pivot?

so what are they trying to achieve with this, more deflation?

>>52946942
bullish for BTC

>>52947403
Yes, pretty much, though 60% of the overall demand is the BOJ itself, so there's even less demand than one would think. If some foreign company buys a Japanese bond, then yen strengthens because that foreign company has to buy Yen. If the central bank buys bonds, it prints the money out of thin air, and the Yen weakens.

>>52947409
>ah i see, so they hiked (like the rest) but because its japan who never every hike, its called a pivot?
correct
>so what are they trying to achieve with this, more deflation?
the lose conditions right now are hyperinflation and insolvency, last ones standing win. they're trying not to lose

Yeah I want to know this also
We should discuss big macro happenings like this more often

>>52946942
They must hike because FED is hiking or the Yen collapses but they also have high debt and low growth so hiking fuck them up because debt will cost more; bonds are held by pension funds and banks mostly so rates hike means they take losses. But the whole western world is in this situation so idk.

>>52947409
>so what are they trying to achieve with this, more deflation?
Avoiding the yen/USD-pair from falling 90% over the course of the next 2 years. It's now "beggar thy neighbor"-policy among financial countries.

>Years of Abenomics to spur inflation
> Finally inflation arrives
> We must save the Yen from depreciating, back to deflation
Wtf..why

>>52946975
HOLY BAYZED

>>52946975
Really fucking cringe lol

tldr I work for japanese company in Europe am I fucked?

>>52947449
>europe
Anon, i...

>>52946975
>5,000
dude, you misstyped 1

>>52946975
>if Xi is based; he nukes every fucking city in israel with a population over 5,000 people.
>>52947003
>>52947003
>>52947028
>>52947260
Isn't their another way? Jerusalem is also interesting for historical purposes.

>>52946975
You watch too much television.

>>52946983
china has 1.3B consumers.
EU has 500M
US has 300M
Only way to win this is to switch the world to non consumerism

>>52947029
also Japan is the biggest (foreign?) holder of US depts... So they should margincall the US, let them eat shit and save anime

Can we safely say that average Americans are the biggest winners with the appreciation of USD past year or so against the rest of the world ?
> Cheap imports
> Cheap travels, tours
except exports but what does US produces anyway except software and social media.
How can we profit from this ?

>>52947029
And? It still must be repayed or you're implying private money is government money and they can do whatever they want.

>>52947485
does boj hold these us bonds or the Japanese gov?

>>52947501
Japan is the largest US bondholder.

>>52947501
America produces war machines. The Chinese, Japanese and Europeans are getting old. This is a turbulent time because it's the best chance for China to make a move in the economic war. It's not a good chance, but the best they are going to have. Unless they kill their older population somehow

>>52947532
boj holding it for the gov i guess

>>52947566
you'll note they finally gave up on zero-covid

How about the low inflation in Japan? How were they forced to hike even when they barely had inflation? So why did they hike in the first place?

>>52947208
Lmao you faggots have no idea the pain that is coming

>>52947587
That's what I was thinking, but didn't want to outright say it. If China were to get rid of say 80% of Chinese over 40 they'd get another change. There are of course massive psychological and logistic consequences to that, but with the current demographics I think we're in for another 50 years of US domination.

>>52947605
because "no inflation" (or even deflation) is even worse

>>52947566
>China making a move
like losing its manufacturing to Vietnam and India and trying to mask their weakness by over reacting to a flu
>ib4 0 coof over
a bluff to make disidents feel save and get them

>>52947657
So they don't want deflation, but they are hiking rates? Hiking rates usually creates deflation anon

>>52946975
Two more weeks

>>52947673
China has been doing pretty well for the past few decades. They made their moves and this is where they were able to get. Now it looks like it's over for them as we both presumably think. If they want to make their final move the time is now. The US is at its weakest compared to China. I'm not saying the us is weak, but as weak as it's going to be in the near future. Unless civil war

>>52947689
They are hiking rates because the Fed is turning the screws on everyone. They are defending the yen.

>>52947771
I get that much. Trying to avoid hyper inflation. Other anon seemed to think they want to cause inflation

>>52946942
I don't really care if people will be starving to death, but what does it mean for the anime industry?

>>52946989
>Japan rugpulled its bondholders
>80% of Japanese bonds are held by Bank of Japan
So they rugpulled themselves?

>>52946975
>if Xi is based; he nukes every fucking city in israel with a population over 5,000 people.
This would be sweet desu

>>52947861
the Bank of Japan prints its own money so no
but they are offloading the bonds they own yeah

imagine if satoshi account began sending some BTC to exchanges, now imagine what that would do to BTC holders

>>52947485
This, they have the power to break the US bond market or at least cause some serious liquidity issues. How much do they have exactly, is it one or two trillions?

>>52947879
it's kinda inevitable, every central bank that did large amounts of QE in the last decade will experience massive losses in it's balance sheet, they are all rugpulling themselves or their governments' treasuries, as it's usually the governments' duty to pay for their central banks' losses, it depends on how you want to see it
It's gonna be fun reading articles explaining
>no, you shouldn't worry about it, goyim, you see, central banks' can't go bankrupt

>>52946989
https://twitter.com/DylanLeClair_/status/1605065120010248192?t=zbsBsupEum3KtY2gYJRJfw&s=19
It's gonna be such a shitshow, at this point I'm convinced the FED doesn't even care about breaking the US bond market, in fact they might even want it to happen.

>>52947049
If the biggest holders, Japan and China starts to unload all their bonds, that has the potential to break the market and crash bond prices with no survivors. The FED can try to counter that by releasing the 2 trillion in the reverse repo facility, but who knows if it's gonna be enough.

How does this affect us GME bros?????

>>52947070
it's not nothing when you have a debt to GDP level of 250% like Japan does

>>52946975
>if Xi is based; he nukes every fucking city in israel with a population over 5,000 people.


Zion Don will not let this go easily.

>>52947318
or, you know, they can just choose instead of outright collapsing to ditch the dollar

>>52947406
ironic how far they were behind the curve when the Bank of England was already forced to pivot back to QE
How long until Japan is forced to pivot in the opposite direction when their bond market or government budget crashes?

>>52947427
Rubel is looking better every day ngl

>>52946975
if all of that happens im ok with it as long as israel is nuked.

>>52947449
you're not just fucked, you're getting DP'd

>>52947409
>pivot
This is a news media manufactured word parroted by the masses. It has no defined meaning. It has been spouted by talking heads relating to everything from Fed rate announcements to reporting on when Powell last farted. Don't use the term unless you want to come off as a retard. Use actual terms that describe what has been said, done, changed, ect.

>>52947501
the average American is drowning in credit card debt struggling to pay for Walmart

>>52948105
I think I'd rather pivot up your ass fren

>>52948105
agreed, just wanted to check

>>52947318
As long as boomers in the UK eat shit, I'm okay with this

we r all died

>>52947425
Oh Canada I stand for thee as they housing market collapses!
Bet they let CAD slide too.

>>52946975
Based poor man's Tom Clancy.

>>52948154
that cat has a dick on its face lol

>>52947403
Yes that happens, but thats not why yields and prices are opposites. They are opposites because of simple math.
Owning a bond is the same as owning a promise to be paid a fixed amount of dollars at a point in the future. The amount of dollars to be paid never changes. Instead, the price of the bond changes.
For example, if I own a one year bond for $100, I have an IOU to get $100 one year from now. If the price right now is $96, then the yield is 4%. If tomorrow the yield drops to 3%, then I could sell that same bond for $97.

>>52947969
They do. It is everything they've built up for.
They're killing the economy measured in fiat.
However the perception of legality of western governments and how living standards and trade works out, one ought to remember this is mostly an war on our conciousness played out with information, and their endgame always has been to use their money to gain power over us.
The final act always has been making us so dependent on their systems that we'd swap all of our God-given rights for their pomises of security by enslaving us to more totalitarian legal slave systems and enforcing them by ourselves with a perverse kind of facism, marxism and self-hating values, attacking our beliefs and our own morals by making us listen to them when they hold no truth and no morals.

>>52948274
CBDCs are the endgame for globohomo, that much we know. I wonder if rivaling factions inside the West are all on board with that though. The Fed seems to be playing its own game while the rest of the world, including the EU, IMF and UN watches in horror. The ESG agenda has been also dealt a fatal blow, Blackrock is in shambles after the red states rebellion, the WEF commies sure aren't happy about that either.

>>52946942
Japan central bank put a floor under the price of government bonds (and, iirc, a legal limit on how far they are meant to move).
This is part of Japan's attempt to stop US rates leaking through to their economy (because the central bank believes their economy is too weak for higher rates). And has led a collapse in the value of the yen (the central bank also tried, unsuccessfully, to stop the yen falling too).
It was expected that they would have to change policy because what they are doing makes no sense at all. They decided to do it today rather than three months.
It means nothing beyond Japan. They have likely done it too late because US rates are probably somewhere near peak. Their economy is still totally fucked because of central bank intervention, higher rates could trigger a rebalancing however (Japan is also experiencing higher levels of shareholder activism which could improve their economy significantly).

>>52946975
>and then sending every fucking asset they have to take taiwan in the middle of the night.
lmfao
the only military that matters is america, this would never work

>>52948264
Ah, thanks. The other anon explained it well enough, but my train of thought had a missing link which left me confused and
>the amount of money paid is the same
fixed it.

>>52946975
this is your brain on 4tranny chink/russhit propaganda

>>52948274
>>52947969
^^^^^^^^^^^^
And bump.

>>52946975
make it so

>>52948434
>it means nothing beyond Japan
Not sure I agree with you there. There will be contagion somewhere.

>>52946975
I dont care for as long israel gets wiped of the earth

>>52947836
The people who makes anime will starve to death.

>>52948777
>>52948434
As reported by Zerohedge

>>52948777
Japan is the contagion. Their problem is due to the contagion from US rates. But they will have no impact themselves. When in Japan get high enough for Japan's saving institutions to move capital back...maybe, but that day isn't today (with JGBs yielding 41bps at 10y vs 369bps for US).

>>52947427
>It's now "beggar thy neighbor"-policy among financial countries.
last century may as well have never happened for all the lessons that were supposed to be learned.

>have zero inflation
>have a low cost of life compared to other first world countries
>keeps sustaining zombie companies and other useless shenanigans
>finally breaks the camel's back
What's with their persistence with having inflation? And now despite being at 3.5% its considered a worry sign because they're used to zero or near zero, shouldn't they just have it as their new standard?

>>52946975
>and if Xi is based; he nukes every fucking city in israel with a population over 5,000 people.
I ejaculated to reading this , please god make this happen

>>52946942
So is the global economy done or do we still have to wait some more?

So their inflation was low but they hiked rates?

People are saying they were forced to because the US was raising but i don't see how that follows. It takes a while for debt to roll over and even if their payments were now high why not print if you don't have high inflation?

>>52946983
>china cannot survive without the west and vice versa

China can survive without the useless consumers of the West.

>>52947689
they were pressured by trump and wall street to not hike earlier to provide cheap liquidity to bolster markets, it‘s what made the btc bullrun even possible. right now they are trying to fast-lane hikes to counter the exploding inflation, which started with corona and was further catalyzed by the ukraine war

>>52946975
Usa will cheat or find an opportunity to make money like they always do

>>52947995
lmao if they're dumping UST that means they need USD. Spot dollar demand would skyrocket. This is a tale as old as Nixon defaulting on gold redemption.

>>52949193
Not as low as usual, it was hitting 3.5-3.7%, their currency was unusually devaluated and companies were even giving inflation correction payments for workers. It's a zero inflation country where people like to save a lot.

Finally I will be able to afford a house on Mt. Fuji, where I will live with my wife (she will be Japanese) and we will make love and have tea ceremonies just like in my favourite animes.

>>52949182
These things take years to play out. The global economy is not a shitcoin

>>52949590
I love how impatient people are and we're talking about an economic system geared around the USA that encompasses more than 80% of the world's population.
This story has been in motion for near 90 years now, and it's going to take a few more to see that capitulation politically.
Socialism doesn't fucking work, full stop.

>>52947477
But like 800 million of that 1.3 billion figure are all fucking poor cockroaches working 20 hour long shifts 7 days a week, they can't consume anything but bread lol

>>52949474
Enjoy getting slowly cut up while takeshi and other homeless bums rape your wife in the woods.

>>52949010
>boomerhedge
we can safely call it a literal nothing burger then. make sure to buy two months of food supply from BoomerPrepSalesman#1415, and don't forget to tip.

>>52952194
Doesn‘t Takeshi still live in his castle?

>>52946975

>>52946975
Why would he? Xi and Isreal loves China

>>52946942
I hope you all listened to me; I'm up 23%
>>50144805

>>52946975
>soft power meets hard power

>>52946967
>>52946971
why should I bag these, shillazs?

>>52949242
china cant even feed itself going full export to the west mode, im not giving USA a pass either they are co-dependent beyond belief too

>>52949242
chinks die of mass famine and disease meanwhile we go without shitty lead painted toys for a few decades. ok

>>52948100
based and checked

Unironically, watch the anime called C Control if you want to understand what is happening.

>>52949474
We're gonna make it.

>>52946975
>China
>taking Taiwan

>>52892501
lmao forex anon was right

>>52949590
>Us treasuries
>>52949665
nigger ive been hearing about the collapse for twenty years now. i heard about it from BTC days too. if its not happening soon then nothing is

>>52946975
Please let this happen.

As suspected, my EWJ and VPL shares went up much more than the S&P today despite the Nikkei selloff. Dividend payouts from Japan stocks will also increase in future quarters due to the increasing value of the yen. Raising of rates is actually bullish for holders of Japanese equity long term if you really understand what is going on.

>>52956772
OK I'll watch it. But not for the economics. I want to see more of that tiny waist and delicious flat chest. Some prime anime pussy right there. I've lost all interest in whatever this thread was about before.

>>52946975
God I wish

>>52946975
Meanwhile in reality.

>>52946983
>>52956117
>>52951443
>>52955709

Mutt cope
USA is a sweat shop compared to China

8222

>>52946942
>Can someone explain the meaning/nuances behind this happening and what it means to the Japanese and the collective world in layman terms ?
japan is an american bitch since ww2
japan is a dead country since the plazza accord

>>52959527
Japan wouldn't have gotten any economic miracle without their currency died to the US dollar.
As always it was just convenient to have another satellite state against their enemy at the time: the USSR and recovering China.

>>52947477
the atheist revolutions were done in order to base the world on commerce, and the bourgeois will never ever want to lose their power to give it back to religious people and military people

this is why they push for digitization: the poors will live in the pod and internet and the rich will live in the real world

>>52947501
>How can we profit from this ?
you dont the only good thing with a strong dollar is that the murifats dont have much price rises compared to the other retards

>>52948335
>I wonder if rivaling factions inside the West are all on board with that though.
here is the twist, they are not revals. All the bourgeois in all republics are the same and push for the same thing : killing religion, monarchy and basing society on commerce while saying there is no legal caste system so everybody is legally equal.

>>52947325
>Why does the bond price decrease with yield increasing?
Yield increases affect newly issued bonds. The old bonds on secondary markets still have the old yield. Since the old bonds have lower yield, people will pay less for them, therefore the price goes down.

>>52947028
There are far more Jews in the US than Israel, would be better off nuking the US.

>>52948041
Is that a real one? I wouldn't even be surprised at this point because how much of an absolute cuck he is.

>>52949665
>Socialism doesn't fucking work, full stop.
what the fuck are you even talking about?

>>52946975
>snap back to reality.
Did I just wake up from a fever pitched dream?

yes

>>52946942
oh sick nothing will happen as always! thanks!