Minor changes in monetary conditions—such as Japan's marginal rate hikes of 10-15 basis points—can produce dramatic market dislocations because the system has accumulated massive debt, artificially suppressed rates, and extensive carry trades that are extremely sensitive to liquidity changes.
causalpending
Speaker
Diego PereaEvidence Quote
“given the magnitude of the debt given the magnitude of of the artificially low rates given the magnitude of the carry trade around it these things can have uh you know Ripple effects”
Source
Matter Of Time Bubble Implodes; What The Next Financial Crisis Looks Like | Diego Parrilla— David LinCreated: 8/12/2026, 6:46:15 PM
My Notes
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