With war raging in the Middle East, Japan is suffering. Japanese bond yields have risen to a 27-year high, and the yen has plummeted to 160. Government and central bank interventions have yielded little effect. When the bond market and exchange rate

2026-03-30

With war raging in the Middle East, Japan is suffering. Japanese bond yields have risen to a 27-year high, and the yen has plummeted to 160. Government and central bank interventions have yielded little effect. When the bond market and exchange rate are mutually exclusive, which will Japan sacrifice? And which assets will be affected?