Is This a Crisis? Japan USA

In recent days, government bonds have surged in a way that suggests the ghosts of deflation have been defeated. 

A key argument against a crisis is that despite its huge pile of debt, Japan is stable. It maintains a current account surplus (unlike the US). 

Also unlike the US, it has a positive net international investment position, meaning that it holds more foreign assets than foreigners hold assets in Japan:

John Authers Bloomberg January 27, 2026  

https://www.bloomberg.com/opinion/newsletters/2026-01-27/japan-needn-t-drive-an-international-crisis?srnd=phx-opinion

 


https://englundmacro.blogspot.com/2026/01/japan.html


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