The 10-year Japanese Government Bond (JGB) yield has hit a 16-year high, creeping toward 1.75%. That may not sound extreme by global standards, but in Japan’s fragile system, even small increases in borrowing costs send shockwaves through the economy. The Bank of Japan has spent years suppressing rates with aggressive bond-buying. Now, markets are testing its resolve.
With Japan’s debt/GDP of 216% higher bond yields could become a problem at some point. Unless inflation will keep real rates negative. Regardless what politicians say, they need inflation to keep the debt game going. Same thing in Europe and the US. pic.twitter.com/bAWBVudZHe
— Michael A. Arouet (@MichaelAArouet) March 25, 2025
10-yr JGB heading 1.75%? pic.twitter.com/mjoLpq1iOb
— Michael J. Kramer (@MichaelMOTTCM) March 26, 2025
Japan’s 10-year government bond yield has surged to its highest point in 16 years.
Look out…
— Gold Telegraph ⚡ (@GoldTelegraph_) March 26, 2025
JP10YR
Japan 🇯🇵in real trouble .
Kamikaze policies coming home to roost. pic.twitter.com/43nnjrKJQh
— The Great Martis (@great_martis) March 25, 2025
