The yen carry trade's impact on the markets this week
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The yen carry trade, where US investors borrow Japanese yen, due to its low interest rate environment, to purchase US monetary assets for a profit, has backfired on some investors as the Bank of Japan began to increase interest rates. A sell-off resulted, in part, due to this phenomenon having an impact on the US market.
Yahoo Finance markets and data editor Jared Blikre joins Catalysts to break down the Japanese yen carry trade and its impact on the US stock market.
For more expert insight and the latest market action, click here to watch this full episode of Catalysts.
This post was written by Nicholas Jacobino