Possible scenario
Disorderly Deleveraging Hits
−3.6%
A less likely but material downside path is a second wave of forced selling driven by Japanese rate volatility and AI valuation compression. This would resemble a localized version of prior global de-risking episodes, with sharper moves in semiconductors, high-beta technology, and credit spreads.
What it moves
- Technology−4.9%
- Finance−2.9%
- Riskier companies' borrowing costs
- Market volatility
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