In our preview of last week’s BOJ we refrained from giving details and merely shared a candid assessment of what we thought the result would be:
BOJ preview: whatever is the dumbest possible thing that can happen, is what will happen. 100% guaranteed
— zerohedge (@zerohedge) July 30, 2024
And we were right, because by deciding to hike rates into an economic showdown, the BOJ – which as we noted last week “changed the rules” again – has unleashed a financial apocalypse by creating a positive feedback loop that culminates with a deflationary collapse of all assets (as the bank now goalseeks a surge in the yen and thus deflation and economic devastation) which has led to not only to the Nikkei promptly entering a bear market from its all time high hit just 3 weeks ago and wiping out all of its year to day gains, not to mention collapsing 15% since last week’s BOJ meeting which we knew would be a disaster…
