Japan’s 30-Year and 40-Year Bonds Crater, Yields Spike, Huge Mess Coming Home to Roost. Yen Carry Trade at Risk by Wolf Richter • May 20, 2025 • 115 Comments The BOJ’s QT, inflation that’s higher than in the US, an atrocious fiscal mess, a devalued yen, it all comes together.
Bank of Japan’s QT Accelerates, 2 Years Behind the Fed & ECB, but Now Visibly Part of the QT Party by Wolf Richter • Apr 7, 2025 • 14 Comments BOJ Quantitative Tightening: -¥18 trillion (-$120 billion) in March, -¥27 trillion YoY, to ¥729 trillion total assets, lowest since December 2022.
Status of US Dollar as Global Reserve Currency: Central Banks Diversify into Other Currencies and Gold by Wolf Richter • Mar 31, 2025 • 114 Comments The surge of the “nontraditional reserve currencies.”
ECB Faces a Problem: Euro Area Services Inflation Stuck at 4.0% for 13th Month. CPI Accelerates Further, as Energy & Durable Goods Stopped Plunging by Wolf Richter • Jan 17, 2025 • 21 Comments Inflation far from over. ECB risks throwing fuel on top of it.
Bank of Japan Balance Sheet: QT Takes Off, Assets Drop to Lowest in 15 Months by Wolf Richter • Jan 7, 2025 • 36 Comments Too little too late to help the yen that got mauled by 10 years of rampant QE.
Status of US Dollar as Global Reserve Currency: USD Share Hits 30-Year Low as Central Banks Pile on Other Currencies & Gold by Wolf Richter • Jan 5, 2025 • 109 Comments If the rate of decline over the past 10 years continues, the dollar’s share will sink below 50% by 2034.
The ECB Steps Away from Bond Market Entirely, Speeds Up Bond QT even as it Cut Rates by Wolf Richter • Dec 13, 2024 • 23 Comments It already reduced its balance sheet by €2.48 trillion and completed its loan QT to near-zero.
Bank of Canada Balance Sheet QT: -52% from Peak, QT Continues even after Third Rate Cut by Wolf Richter • Sep 10, 2024 • 26 Comments Repo activity wakes up again.
QT Continues: ECB Balance Sheet: -€2.39 Trillion or -27% from Peak, to €6.45 Trillion, Lowest since August 2020 by Wolf Richter • Aug 20, 2024 • 41 Comments Combined QT by the Fed and ECB removed $4.4 trillion in liquidity so far. A couple of years ago, this would have been an unimaginable feat.
Bank of Japan Hikes by 25 Basis Points and Starts QT: Too Little Too Late but in Right Direction to Prop Up the Plunging Yen by Wolf Richter • Jul 31, 2024 • 26 Comments The “real” policy rate is massively negative, with the new policy rate of 0.25% far below Core CPI of 2.6%.
