In a nutshell, the U.S. dollar and Treasury yields have been climbing since soon after Mr. Trump was elected president
- Triggered by expectations that his policies would boost U.S. growth, inflation and interest rates
- So far, that has been good for Japan, where the weaker yen is brightening exporters' prospects, helping send Tokyo stocks to 11-month highs
But rising yields around the world, while Japan targets short-term rates at minus 0.1% and the yield on 10-year government bonds at around zero raises the risk of far greater, and potentially damaging, depreciation.
