Cash hasn’t shrunk this fast in nearly two decades, yields are spiking, and the BoJ is finally leaving stimulus behind.
They fear the collapsing yen more than the historic rates due to inflation. Problem is, even raising rates to multi-decades highs isn’t helping the yen much, which means much more hikes on the way. And that means insolvency.
The old adage, damned if they do, damned if they…
— LostInBogota (@MyPronounsRFOff) January 6, 2026
🇯🇵 JAPAN LIQUIDITY IS DRYING UP FAST
Japan’s 30Y yield just hit 3.5% ATH as the Bank of Japan exits stimulus.
Cash in circulation fell 4.9% in 2025, first drop in 18 years.
Monetary base now ¥594T, below ¥600T for first time since 2020.
This is REAL tightening.
RECESSION ? 😢 https://t.co/OFYGQzo5bg pic.twitter.com/3ZR0gitDsf— Money Ape (@TheMoneyApe) January 6, 2026