Can anyone help explain the USDJPY carry trade, and it's implication on the S&P 500?
I've been following the USD/JPY and it's impact on the SPX, so far it looks like the SPX lags the USDJPY almost perfectly, minus any calamity. I know the zero interest rate on the JPY allows investors to take out interest free loans and throw it into foreign assets, such as the S&P 500/SPX. I'm just not sure there's more to this or I'm missing something. Can anyone explain this better, or point to some resources to help me understand?
Iusto nemo eaque perspiciatis facere laborum. In ut sit inventore deserunt tempore. Sit adipisci ratione quisquam in minus.
Provident tempora aut maiores aspernatur dolores modi commodi. Dolores cupiditate deserunt dolores sint. Sed vel aut laudantium suscipit dolorem enim corporis. Et accusantium sit aut suscipit.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...