Posted by DigiNomad on 27th of Oct 2023 at 03:38 pm
It's the JPY 10 year yield you should be watching, IMO. As it
rises, the "carry trade" becomes less profitable. When it
comes to Japan, it's a very popular trade (massive understatement)
and it's a HUGE thing for US markets. Japanese investors borrow at
ultra low rates and invest at relatively higher rates in the
USA...and they do it at massive scale.
Newsletter
Subscribe to our email list for regular free market updates
as well as a chance to get coupons!
It's the JPY 10 year
Yen is up. Is that good for our stock market ...
Posted by DigiNomad on 27th of Oct 2023 at 03:38 pm
It's the JPY 10 year yield you should be watching, IMO. As it rises, the "carry trade" becomes less profitable. When it comes to Japan, it's a very popular trade (massive understatement) and it's a HUGE thing for US markets. Japanese investors borrow at ultra low rates and invest at relatively higher rates in the USA...and they do it at massive scale.