THE YEN TRILEMMA

Yen is falling fast, clock is ticking for Tokyo

Tokyo Raised Rates to a 31-Year High. The Currency Fell Anyway.

ZTrader Research | June 22, 2026

Tokyo raised rates to a 31-year high. The currency fell anyway. Japan is finding out, in real time, that you can defend the yen, protect the debt, or keep the politicians happy — not all three.

I. THE EMPTY SEAT

On the morning of June 16, nine chairs sat around …