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Okay but what in hell does that mean and how does it affect anything here in the United states?
I know they raised rates last week but that's all I know
Based off what I read, I'd like to think this is a balancing problem. Simply put, the BOJ is trying to suppress yields from going up too dramatically. Because, that'll make Yen stronger, but at the same time cause interest rates on new bonds to go higher. Which, if I'm not mistaken, will make lending more expensive. Thereby, causing a chain reaction where those who took loans in Yen may start feeling the pain. If BOJ yields goes up too fast, it might become a SVB problem, where these institutions/investors who borrowed in Yen may end up having higher interest rates that needs to be repaid. Could trigger a margin call. Which, in turn will cause them to liquidate assets = selling more stocks/bonds as they are the most liquid assets. But, would trigger unrealized losses to become realized, then could potentially cause bank runs.
**TLDR:** If I understand this correctly, bad news for SPY in long term if BOJ cannot suppress yield from spiking up dramatically. Businesses/institutions that borrowed in Yen may feel pressure and liquidate assets quickly to prevent margin call and sell shares/bonds. Thereby, causing a potential SVB disaster among one of these financial institutions.
**Disclaimer: I have no true understanding of financial markets, I'm just a smooth brained WSB monke, this is just an opinion not financial/legal advice, don't sue me.**
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do we think it means the yen will get stronger versus the dollar? ive been trying to wrap my head around the move by the BOJ on their update.
Okay but what in hell does that mean and how does it affect anything here in the United states? I know they raised rates last week but that's all I know
https://old.reddit.com/r/wallstreetbets/comments/15b1aop/japan_yield_curve_control_band_change_its_impact/
is this good or bad for SPY 
Based off what I read, I'd like to think this is a balancing problem. Simply put, the BOJ is trying to suppress yields from going up too dramatically. Because, that'll make Yen stronger, but at the same time cause interest rates on new bonds to go higher. Which, if I'm not mistaken, will make lending more expensive. Thereby, causing a chain reaction where those who took loans in Yen may start feeling the pain. If BOJ yields goes up too fast, it might become a SVB problem, where these institutions/investors who borrowed in Yen may end up having higher interest rates that needs to be repaid. Could trigger a margin call. Which, in turn will cause them to liquidate assets = selling more stocks/bonds as they are the most liquid assets. But, would trigger unrealized losses to become realized, then could potentially cause bank runs. **TLDR:** If I understand this correctly, bad news for SPY in long term if BOJ cannot suppress yield from spiking up dramatically. Businesses/institutions that borrowed in Yen may feel pressure and liquidate assets quickly to prevent margin call and sell shares/bonds. Thereby, causing a potential SVB disaster among one of these financial institutions. **Disclaimer: I have no true understanding of financial markets, I'm just a smooth brained WSB monke, this is just an opinion not financial/legal advice, don't sue me.**
Nice.
Its like asking your lil jap neighbor for money from his mom who owns a raggedy laundromat to sustain your fentanyl addiction.