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Today there is a relatively obscure positive news.
Japan's Ministry of Internal Affairs and Communications announced that the nationwide core CPI in April increased by only 1.9% year-on-year,
below the market expectation of 2.2%, hitting a new low in nearly four years.
Almost two years ago, the Bank of Japan unexpectedly raised interest rates to 0.25%,
Bitcoin plummeted 26% from $65k to around $50k in just a few days,
and the entire crypto market evaporated about $600 billion within days.
Of course, this was also unexpected; Japan's inflation falling below the 2% target is happening much faster than the market anticipated,
and global funds participating in yen arbitrage trading are no longer worried about the possible yen rate hike in June.
These funds account for a large part of the crypto market.
Because the Middle East situation pushed up oil prices, the market was initially very concerned that imported inflation would force the Bank of Japan to raise interest rates directly to 1% at the upcoming June meeting,
theoretically causing a major liquidity drain across global risk assets.