The Bank of Japan is widely expected to end yield curve control. But Japanese yields will remain low, and foreign bonds will remain attractive to those Japanese investors who don't have to hedge.
Fantastic analysis! Here is a typo maybe? In the paragraph of "... rates of between 4.0 and 4.5 percent, Japanese investors buying Treasuries unhedged are losing money..." I think you mean to say the hedged are losing money. Look forward to your response. Thanks.
Fantastic analysis! Here is a typo maybe? In the paragraph of "... rates of between 4.0 and 4.5 percent, Japanese investors buying Treasuries unhedged are losing money..." I think you mean to say the hedged are losing money. Look forward to your response. Thanks.
finally, a more balanced take to Japan's NIRP exit!