Wed, 21 Jan 2026 11:29:01 GMT
End of the Carry Trade: Japanese Yen and the Looming Global Turmoil
The global financial system is undergoing a structural transformation not seen in more than twenty years. Historically, the Japanese Yen acted as a cornerstone of global liquidity via the carry trade. Investors would borrow yen at extremely low or negative rates to invest in higher-yielding assets worldwide, including U.S. tech stocks, emerging-market bonds, and fast-growing commodities. This vast movement of