Japan's Silent Collapse
And the Global Shockwave You're Not Seeing
1. The Demographic Time Bomb
Japan is literally running out of people. It's not just a statistic; it's an economic catastrophe in slow motion.
2. The Quadrillion Yen Debt
How does the world's 3rd largest economy survive with a debt pile that dwarfs Greece and the USA?
*Interest payments alone now consume 24% of Japan's budget.
3. The Global Money Pump
For decades, Japan kept rates at 0%. This created the "Yen Carry Trade"—a free money engine for the world.
Borrow in Tokyo
Investors borrow Billions of Yen at 0% Interest.
Convert & Invest
Sell Yen, Buy US Dollars. Invest in US Stocks & Bonds yielding 4-5%.
Free Profit
Pocket the difference risk-free... as long as Yen rates stay at zero.
4. The Great Unwinding
In 2024, the assumption broke. Inflation forced Japan to raise rates. The free money party is over.
Higher rates mean the government's interest payments explode. A "Debt Spiral" threatens to consume the entire budget.
Investors must sell US Assets (Stocks/Bonds) to pay back Yen loans. Trillions of dollars flow out of global markets back to Japan.