Japan Isn’t Saving the Yen. America Is Saving Its Own Bond Market.
When the yen hits 157, the media frames it as Japan’s defense. In reality, the US is secretly buying yen to stop Japan from dumping its $1.1 trillion in US Treasuries. If the US stops backstopping the yen, a Japanese fire sale of US debt will spike interest rates and crash global markets. The dollar’s reserve status isn’t a shield—it’s a ticking time bomb.