Yen carry trade unwind. People were discussing this at least since around 2008. So basically people borrow yen for free/next to free and speculate in anything that was going to get them returns. I personally always thought the yen would inflate to unbearable levels along with the USD but it looks like they're actually doing something about it.
Yen carry trade unwind. People were discussing this at least since around 2008. So basically people borrow yen for free/next to free and speculate in anything that was going to get them returns. I personally always thought the yen would inflate to unbearable levels along with the USD but it looks like they're actually doing something about it.
So Japan is expected to keep it's interest rates at or below zero to allow the yen to be used for speculation.
But during economic crises where other major economies raise interest rates it's also expected to do the same or face devaluation of the yen?
I'm more interested in the yen finally starting to recover from it's steep decline than I am in the value of the stock market.