Norinchukin Sends Warning to World on Higher-for-Longer Rates.

Norinchukin Bank, a major Japanese agricultural bank, has announced plans to sell $63 billion of low-yielding US and European government bonds due to rising borrowing costs. The bank warned that losses for the fiscal year could reach $9.5 billion, triple the previous estimate. This move highlights the risks faced by financial institutions in a world of higher-for-longer interest rates, and serves as a reminder of the dangers still present in the financial system. Norinchukin is now restructuring its portfolio, selling off a third of its sovereign holdings and shifting to other assets. [Extracted from the article]