🚨 The Bank of Japan's balance sheet shrank to its lowest level since 2020.

In Q1 2026, total assets decreased by $98 billion, to $4.14 trillion, down $590 billion from the peak (-12.6%).
Japanese government bond holdings declined by $84 billion in the quarter, the largest drop since QT began, returning to Q3 2020 levels.
Since January, they have started selling ETFs and J-REITs, marking a major policy shift.
The Bank of Japan is no longer blindly absorbing assets; the 10-year Japanese government bond yield has risen to a 27-year high. Normalization is accelerating.
#日本央行 #QT #Japanese bonds