China's 2nd largest real estate developer just defaulted. Debt crossed $600B USD
Note: Lehman was liquidated for $600B, also owned by many international banks
Trade: long USD demand for dollars and CCP may devalue its currency to bail out Evergrande.
We can see the US10Y has just recently crossed over the USDJPY 50DMA. Expecting rising Yields to correlate to a stronger USDJPY.
Further US inflation should keep this pair supported.