Yen Carry Trade Which Blew Up Markets Is Back

A popular yen-centered carry trade that blew up spectacularly two weeks ago is staging a comeback. Japan’s currency has weakened more than 5% against the dollar since Aug. 5, when a cocktail of hawkish Japan monetary policy moves, jitters around US earnings and a feeble jobs report catapulted the yen to a seven-month high. Bloomberg's Mary Nicola reports.
Sign up for Matt Levine's Money Stuff, a newsletter about Wall Street, finance and other stuff. bloom.bg/3X2O2d8
--------
More on Bloomberg Television and Markets

Like this video? Subscribe and turn on notifications so you don't miss any videos from Bloomberg Markets & Finance: tinyurl.com/ys...
Visit www.bloomberg.com for business news & analysis, up-to-the-minute market data, features, profiles and more.

Connect with Bloomberg Television on:
X: / bloombergtv
Facebook: / bloombergtelevision
Instagram: / bloombergtv

Connect with Bloomberg Business on:
X: / business
Facebook: / bloombergbusiness
Instagram: / bloombergbusiness
TikTok: www.tiktok.com...
Reddit: / bloomberg
LinkedIn: / bloomberg-news

More from Bloomberg:
Bloomberg Radio: / bloombergradio
Bloomberg Surveillance: / bsurveillance
Bloomberg Politics: / bpolitics
Bloomberg Originals: / bbgoriginals

Watch more on KZbin:
Bloomberg Technology: / @bloombergtechnology
Bloomberg Originals: / @business
Bloomberg Quicktake: / @bloombergquicktake
Bloomberg Espanol: / @bloomberg_espanol
Bloomberg Podcasts: / @bloombergpodcasts

[@SlowTurtle28]

Thats funny because it’s not even 75% undone yet. This is sucking ppl in so they can hold the bag. Only suckers would get back into this trade

[@Franky4Fingers-m7k]

The bet I believe is Boj wont do a thing for now. Neither will Fed as they are afraid of the consequences of rate changes

[@trs8696]

"what do you think has caused the return of the carry trade?" "people not learning"

[@planto80]

There’s only 2 ways since beginning: support the currency or support the zombie economy. You only can do one thing at a time.

[@DavidParadiseX]

Can someone put what she said into layman's terms? Is the market going to pull back again soon?

[@GardeningDoomer]

Shes talking about the emerging market carry trade - which is a sideshow if u ask me. Leave it to bloomberg news to try to throw us little investors off the trail. Watch the USD/YEN, this is the important one. Big movements will alert us to trouble.

[@stevemelton4388]

People will sell the stock they bought with free Japanese Yen when the stock market is up.

[@ZaldyAndaya-wq2vs]

..the.