The end of the 'carry trade'? How Japan's yen could be ripping through U.S. stocks
Publishing timestamp: 2024-08-02 10:59:00
Summary
Financial historian Russell Napier warns that the yen exchange rate is a key driver of global markets and recent changes in Japanese monetary policy could impact U.S. financial markets. The rising yen has led to a broad slump in stocks, with concerns about the end of the "carry trade." U.S. stocks fell sharply due to weak economic data and fears of a recession. Napier predicts significant ramifications for yen carry-trade investors and warns of difficulties for the U.S. in sustaining unsustainable foreign investments.
Sentiment: MIXED
Tickers: .SPX, .DJI, JPY=, .IXIC,
Keywords: markets, u.s. economy, japanese yen, business news, currency markets, central banking, japan, usd/jpy,
Source: https://www.cnbc.com/2024/08/02/carry-trade-how-japans-yen-could-be-ripping-through-us-stocks.html