As short-sellers circle the yen, a repeat of 1997 Asian crisis looms
Short-sellers are reportedly targeting the Japanese yen, drawing parallels to the 1997 Asian financial crisis. Japan's economic fundamentals, including high national debt and declining export competitiveness, make its currency a vulnerable target. Despite significant foreign exchange reserves, aggressive interest rate hikes to defend the yen are constrained by debt levels, potentially leading to an inflation-devaluation spiral. AI
