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The Bank of Japan has raised its Benchmark rate to 0.5% for the first time in 15 years, surprising the world. Japan had no choice but to raise rates to combat inflation hitting a 40-year high of 3.6% in October. This decision could potentially trigger a sovereign debt crisis and impact global bonds. Despite the inflation crisis, Japan plans to spend more money to solve the problem, which some consider a self-inflicted wound. The world is shocked by Japan's decision to pivot towards inflation.
