Don't be swayed by public opinion; let's calmly analyze Japan's interest rate hike strategy.

First, the market has already largely digested this round of rate hikes. The expectations and discussions over the past six months make a sudden plunge unlikely.

The Bank of Japan's stance is very clear — there will be no consecutive large rate hikes, with the initial move being very small, and subsequent steps taken gradually. This is not an emergency situation but a controlled policy adjustment.

Looking at yen carry trades, their scale has significantly decreased compared to the past two years. Everyone is gradually closing positions, so a sudden, concentrated crash is unlikely. The risk of a liquidity crisis has indeed been overestimated.

Regarding government debt, it sounds alarming, but the details are crucial — most of the debt is domestically held, with long maturities. The central bank can still buffer through bond purchases, and default risk is essentially nonexistent.

On a macro level, the Federal Reserve still has room to cut interest rates in the second half of the year. The tightening global liquidity environment provides a hedge against Japan's policy tightening. This is a balancing act.

What truly needs to be monitored is the future direction of central bank statements. If they deviate from the "gradual and steady" approach, that would be a turning point. The rate hike itself? It won't cause the market to collapse. The key is to stay attentive and not overreact with panic.