šÆšµ Japan Just Crossed a Historic Inflation Line
For the first time in 45 years, Japanās inflation has overtaken the U.S.
Core CPI just hit 3.0%, staying above the BoJās 2% target for nearly 4 years ā a clear signal that Japanās deflation era is officially over.
š„ Why This Matters
š Rates Are Rising
The Bank of Japan has lifted short-term rates to 0.75%, the highest level since 1995, and more hikes are now on the table.
š Global Markets Feel It
Higher Japanese rates are shaking up the yen carry trade, pulling back cheap liquidity that fueled global risk assets.
ā ļø Domestic Pressure Builds
Japanās massive debt load now faces higher servicing costs ā a big test for the economy as borrowing gets more expensive.
š§ Bottom Line
Japan is entering a new monetary era, and the ripple effects are already spreading across global markets.



