Bank of Japan Raises Interest Rates to 1%, Highest Level Since 1995
The Bank of Japan raised its benchmark interest rate to 1%, the highest level in more than three decades, as policymakers respond to persistent inflation and pressure on the yen.
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The Bank of Japan raised its benchmark interest rate to 1%, the highest level in more than three decades, as policymakers respond to persistent inflation and pressure on the yen.
Deutsche Bank flagged the potential rise of a “petroyuan” amid the Iran war, as analysts debate whether de-dollarization could accelerate despite continued dollar dominance.
Gold has surpassed U.S. government bonds in central bank reserves for the first time in at least two decades, according to analysts. The shift underscores gold’s rising role as the primary defensive asset in the global financial system.
The U.S. dollar fell to a new four-year low after Donald Trump said he was unconcerned about its decline, triggering a broad rally in commodities and risk assets. Gold, silver, and equity futures surged ahead of a closely watched Federal Reserve decision.
Gold futures surged past $5,300 per ounce for the first time on record, capping a 21% rally in just one month. Analysts say investor focus is shifting from cryptocurrencies toward precious metals as gold’s market value soars.
Tether has accumulated roughly 140 tonnes of physical gold worth about $23 billion, making it the world’s largest private holder of the metal. The stablecoin issuer is buying up to two tonnes per week as it positions itself as a gold-backed financial powerhouse.
Gold has surpassed the U.S. dollar to become the world’s largest reserve asset as the dollar continues to weaken. Markets are increasingly favoring real assets amid rising concerns over holding cash.
U.S. equities suffered a sharp selloff that wiped out roughly $1.4 trillion in market value in a single session, marking the worst daily performance since October 2025. While stocks and cryptocurrencies tumbled, gold surged to a fresh all-time high.
Goldman Sachs says China’s yuan is roughly 25% undervalued on a trade-weighted basis and is likely to appreciate more than current 2026 forward pricing suggests.
The dollar is set for its biggest weekly fall in four months as investors price in a December Fed rate cut while other central banks turn more hawkish.