😱 OH SH*T! The Bank of Japan is THREATENING to DUMP $1.2 TRILLION in U.S. TREASURIES!

What if I told you the Bank of Japan's big rate hike, the one that was supposed to strengthen the yen and stabilize everything, is actually backfiring spectacularly, handing Japan a free hand to unleash a bold currency intervention that could spark a global market meltdown. Now if this isn't empowerment they're selling, it's potentially 1.2 trillion in U.S. treasuries all to defend the yen. And while everyone cheers the end of Japan's deflation era, the yen is plunging toward crisis levels and this red flag screams it's not just Tokyo's problem anymore. Because it's about to become a global problem that could torch tech stocks and send markets crashing. And I've got the hard data and one chart that Wall Street doesn't want you to see to prove it. Stay tuned because I'm going to show you the exact blueprint on how to void this impending crash and how to turn this yen crisis into massive profits. Speaking of profits, on Friday we alerted our CTA Timer Pro subscribers that the XME ETF was about to swing higher and in one day it's already up over 3% and today it's screaming even higher. Now if you're tired of watching from the sidelines and want swing trades that win no matter which direction the market is moving, hit those links in the description below for your free 30-day trial. Stay tuned to the end of the show for more information. Now let's dive in because the Bank of Japan's hike just raised to a 30-year high of 0.75%. But instead of bolstering the yen, it's weakened sharply to around 1.57 against the dollar, prompting Finance Minister Katayama to warn of bold action in the currency markets if those speculative moves continue. The key point here is that the Bank of Japan believes the reason the yen is declining is simply due to speculators selling and shorting the yen. And Katayama said the moves were clearly not in line with fundamentals but were rather speculative. Now why does she believe that? Because classic monetary theory suggests that when a central bank tightens policy by either raising rates or shrinking their balance sheet, or even both, that the underlying currency should rise, not fall. And her predecessor Katsunobu Kato and U.S. Treasury Secretary Scott Besant signed a joint accord on currencies in September outlining the country's commitment to allowing markets to determine exchange rates, giving the Bank of Japan a free hand. And last year they utilized it by spending 100 billion to prop up the yen when the U.S. dollar-Japanese yen exchange rate hit 160, which caused the yen to rally and the exchange rate plunge to 140. And this time the stakes are even higher than then, because now the Bank of Japan is looking to temper inflation, but a weaker yen is threatening to send inflation surging even higher, corning them into a potentially over-tightening that could choke out growth. And in the past they've historically offloaded U.S. Treasuries, and based on the latest tech data, Japan now holds about 1.2 trillion worth, risking weaponizing a self that could roil bond markets, crush tech-heavy indices, and send shockwaves through global stocks. Now let's dive deeper into the core issue here, and then we're going to take a look at that shocking chart, the one that Wall Street doesn't want you to see, and will keep you awake at night. Because despite the hike, BOJ Governor Ueda's vague signals on future tightening has disappointed markets, and while that's done to fuel yen speculation that's not backed by fundamentals. And see, the markets think the BOJ is way behind the curve here. Because Japanese government bonds are in an extended slump, with the 10-year now hitting a 27-year high of just under 2.1%. The two-year yield, which is sensitive to monetary policy expectations, climbed three basis points to 1.2%. That's the highest since 1997, as traders now bet on more aggressive hikes to fight this weakness. But let's take a look at this chart of the federal funds rate in blue versus two-year treasury yields in red, because they want you to see the correlation between two-year yields here and policy rates. So even here in the US, the market is indicating the Fed will be cutting soon. And in Japan, the opposite is true, as the market now expects the Bank of Japan to raise rates again and soon. And this ties into political angles under Prime Minister Takaichi's administration, where curbing yen depreciation is key to keeping approval ratings high amid fiscal expansion, just like her record ¥120 trillion budget. But the market is stating very clearly that the inflationary effects of stimulus won't be curbed by one rate hike. A senior fixed income strategist at Mitsubishi UFJ Morgan Stanley Securities nailed it. He said the sharp yen depreciation is seen as a factor pushing up yields, and has fueled speculation that the timing of this next rate hike may be brought forward. Translation? The market has lingering fiscal concerns here, as it believes a flood of money coming into the economy is going to lead to a weaker yen and higher inflation. And it's not just the flood of money that has the market spooked. There's also a flood of bond issuance, as the Ministry of Finance earlier this month announced plans to raise two- and five-year debt issuance to help fund Prime Minister Sanae Takaichi's economic package. And to offset higher yields and a weaker yen, investors expect Takaichi to allow the Bank of Japan to further raise interest rates if it is to curb the yen's depreciation, which is the administration's greatest fear, in order to maintain its high approval ratings. And Takaichi is going to pour gas on this inflationary fire, and she's hoping the Bank of Japan can temper it. And the market believes the Bank of Japan is going to have to get really aggressive here, which threatens to unwind the yen carry trade that has been supported by ultra-low yields and a weak currency in propping up global equity markets, bond markets, gold, and even crypto. And this comes with a complete lack of guidance. Governor U.A.'s policy board increased the rate by a quarter point to 0.75 percent in a unanimous decision back on Friday. And the hike was expected, but the market wanted stronger messaging, and they didn't get it. U.A. said, of course, it'd be great if we could have a better idea of where the neutral rate is, but it's not easy, he said. While noting that the current rate was still below the lower end of the estimated range. And the range ain't big enough to drive a truck through, because it's got 1% on the low end and 2.5% on the high end, indicating that the Bank of Japan isn't even at the bottom of the range of its so-called neutral rate. So now you can see why speculators are shorting the yen. They think the Bank of Japan is a mile behind the curve here, and they're going to profit big time. But in the end, the speculators are the ones that are going to get crushed, or at least that's what the government wants you to believe. Because on Monday, Japan's chief currency official dropped the hammer when he said, we're seeing a one-directional sudden move, especially after last week's monetary policy meeting. So I'm deeply concerned, and we'd like to take appropriate responses against excessive moves. And this U.S. dollar-Japanese yen chart here, see that spiked to near 158? That's market doubt in action. And if the intervention hits, it could unwind global carry trades. This is where investors are borrowing cheap yen to buy high-yielding assets everywhere else. But just wait until you see the chart that Wall Street doesn't want you to see right now. Because the Bank of Japan is sitting on a trillion-dollar cannon. And again, according to the latest U.S. government data, Japan holds about $1.2 trillion in treasury securities as of October this year. And all they'd have to do is start selling those securities, they'd get dollars, and then they'd exchange those dollars into yen, just like they did in 2024, which sent the exchange rate plunging down from $1.60 to $1.40 in just a matter of three months. And here's the scary part. They've got the blessing of Treasury Secretary Scott Besant. But now let's talk about that chart that Wall Street doesn't want you to see. Because retail investors have been massive buyers in this market. And Wall Street doesn't want them to stop, because they need eager buyers to sell into. And right now, Wall Street's base case is this yen carry trade is likely to blow up. And again, this trade was supported by buying JGBs at near 0% interest rates to borrow it against them and using that to buy high-flying tech stocks, gold, crypto, and even treasuries. And a lot of these trades, they've done with leverage. And those leverage trades, well, they've got to come unwound. And you need it to come out unwound very slowly, or else this whole thing comes crumbling down. So from Wall Street's perspective, you've got to convince people to keep buying. Or you face a forcible unwind. And all we know right now is the pros they want out before this breaks. And what will break it is the yen rising either from the BOJ hiking, or perhaps the Fed cutting at the same time, or we could face a Bank of Japan intervening just like they did last year. And that drop in the US dollar and Japanese yen back in 2024, it sent the Nasdaq 100 crashing. Now let's take a look at this next chart of the US dollar, Japanese yen, in blue against the Nasdaq 100 in red. And you can see in 2024, where it goes from 160, 140 in three months, it sent the Nasdaq down over 11%. And this time, with liquidity drying up, the labor market weakening, Wall Street talking about an AI bubble, and we know the systematic machines, they're near their sell triggers. This next rally in the yen could multiply that correction from 11%. We could see it be double or even triple. The problem here, though, it's not just the yen. Because it's turned to China in the yuan, and it's now falling to seven, a level that many experts say will be short-lived. In fact, Jason Schenkler, he's a president of Prestige Economics, he said, I'd be surprised if it was below seven for a sustained period, referring to the onshore yuan, that would be viewed as probably a challenge and a risk to China. Because unlike Japan, the stoke in the inflationary fires, China is facing deflation and would desperately like to see its currency weakened against the dollar to maintain its export-led economy. And as it stands right now, Chinese companies are the ones that are cutting the sale price even more, which is not something Beijing wants. They call it anti-involution. But there's another factor here, something called the yuan carry trade. And the Chinese yuan's appreciation since April is unfolding at just the right place to neutralize any benefits from holding higher-yielding dollars and puts it on course at seven against its US counterpart by the end of March next year. And this is why the People's Bank of China is tightly controlling its currency movements. The measured pace discourages domestic traders from borrowing in yuan to buy and hold dollars, while also preventing a sudden and disruptive repatriation and flow of money. Simply put, the PBOC is doing everything they can to support their exports because they know if their manufacturing base goes, their entire economy will fall. This whole trade will get unwound. So now you can see how the weakening yuan could lead to a massive BOJ intervention where they're forced to sell treasuries and could drive US rates higher at a time when more and more Americans are falling behind due to inflation, they're facing a weakening labor market, and they're struggling with high interest rates. The risk right now is if the yuan rallies against the dollars, it could unwind the yen carry trade since stocks, bond, gold, and crypto are all crashing. If the yuan joins the club, it could exasperate the problem by forcing the sale of dollars. But this currency crisis could be your big opportunity to profit on the decline and the ensuing rally. We've been talking about why you want to diversify out of technology and cyclical stocks. You can see why. If this thing goes, they're going to come crashing down. You want to look to things like defensives, like utilities, healthcare, gold, or even silver. And for the pros, again, we're talking only the people with the risk tolerance, the experience, and the stomach to hold a trade like this. You might even want to look to be tactically short big tech. Because remember, Wall Street's been talking about an AI bubble, and now you can see it's all tied to the yen carry trade. Jeff Gundlach, he's the bond king. He's been recommending a minimum of 20% of your portfolio in cash. And how often do you ever see a pro at that level suggested? But you can see why. Even he's afraid this whole thing is going to come unwound. You've got to have some cash to buy the dips. Instead of cash, you may want to consider short-term treasuries. You may even want to be along the yen here, or even the dollar. But that's a trade. You've got to look very carefully at the charts. Catch them if they start to take off. That's how you can tell we're facing a risk-off event. And you may even want to be looking to add the long bond to your portfolio over the longer term. Now, I know most won't touch it right now, but the banks here in the US, they're betting big that interest rates are coming down. So now you've got your roadmap here to multiply your wealth in 2026. Because if this does come unwound, it's going to lead to a massive correction. And I think 11% drawdown on the Nasdaq is just the beginning. But it's the ensuing rally that you also want to grab. And that's why cash is your friend. And speaking of trading risk into win, Well, on Friday, we told our CTA Time Pro subscribers to buy the XMA ETF. And in one day, it swung up over 3%. Today, it's even screaming higher. Now, how did we do that? Well, here you can see the trade very clearly. We saw it had an expected win rate of 76%. So how do we do this? Well, each and every day, we look at the machine positioning across the broad equity, bond, currency, and commodity markets. And what we're doing is we're looking to position our subscribers ahead of a big wave of machine buying and get them out before the machines sell. Now, these machines, they trade based on threshold levels. So how did we know it has such a high probability of profit? Because we've optimized and back-tested. We know which of those levels that trigger are going to put the most money and the best odds in your pocket. And that's a full advantage of an optimized strategy. You get better returns, higher win rate, and a lower drawdown. It's super easy. All you have to do is sign up. There's instructions. And then once you've got that, you're going to scroll all the way down to the bottom. You're going to grab the latest reports. And what you're going to find is an update on our existing trades, the new recommended trades for the day with full risk control levels, and every optimized trade generated by the report, both on the long and the short side. So you get all the tradable signals. You get my opinion on the best trades. You get full risk control levels, tracking of all open trades and returns, a weekly update. And here's the best part of all. Whether you're brand new to trading or you're a seasoned trader, we're so confident that our system is better. We're giving you 30 days to try it for free. All you have to do, grab those things in the description below. Use a coupon code for your free 30-day trial. And with that, I'm Steve Admeter. Thanks for watching. Thanks for being fans. Bye now.