That is JPMorgan Chase & Co.’s Arindam Sandilya, one of the bank’s top currency strategists, discussing whether the unwind of the yen carry trade has scope to continue during a Tuesday appearance on Bloomberg Television.
“You can’t unwind the biggest carry trade the world has ever seen without breaking a few heads,” Kit Juckes, global macro strategist at Societe Generale, said in a note to clients Monday. The carry trade relies on borrowing, which means it’s a leveraged position. (As a general rule...
The carry trade is borrowing cheap yen at low interest rates and investing them in more valuable currencies at higher interest rates. As the yen gains against other currencies, investors pull their positions more quickly, and these trades unwind.Akiko Kashiwagi...
英文: A large income in rates could also push up the yen as the carry trade unwinds (but, again, exporters could probably cope, since the currency is so competitive). 中文: 伴随着转口贸易的展开,大量在利率上的收入也能拉动日元(由于流通中具有强大的竞争力,或许可再次转变为对出口商有利)。
Citi Private Bank: Bullish on Japan as yen carry trade unwind is mostly over Chung differs in his assessment: “The volatility of the yen has probably seen its peak this year given that the unwinding of the ‘carry trade’ has already partially happened and the actions of the central...
Buying the dollar and selling the yen has been popular because of the wide interest rate differential between the two countries. "A lot of this can be chalked up to a bit of unwind as people have been piling in to this carry trade," said Michael Boutros, senior technical strategist at ...
The BOJ’s hike last week, along with intervention from Tokyo in early July, led investors to bail out of once-popular carry trades in which traders borrow the yen at low rates to invest in assets that offer higher returns. The carry unwind has combined with weak U.S. jobs data and...
SINGAPORE-- The yen was choppy on Thursday after a sharp drop in the previous session in a volatile week that has left sentiment fragile as investors weigh the unwinding of popular carry trades and ponder the rate path Japan’s central bank is likely to
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British investment house Barclays estimates that carry trades are at their most extreme since 1998, when Russia’s economic crisis prompted some speculators to unwind their bets so rapidly that the yen soared 20% in a matter of days. Hedge fund Long-Term Capital Management collapsed in that mark...