In investment circles the 'yen carry trade' has been gathering popularity in response to Japans crises. Tim Bennett explains what a yen carry trade is and why its proving so popular in this timely educational video. For more investment news and advice visit http://www.moneyweek.com
@Jdjohnjd If the yen gets high Japanese products get expensive for export. Exports goes down, trade surplus goes down. Result japanese corporations will move manufacturing to other countries. Japan gets hollowed out. Possibly more unemployment the younger generation is already having a tough time finding employment. Domestically Japan is in a deflationary situation less yen asked for same goods just to stimulate domestic spending i.e. discounts and sales.
redwhitedude 1 month ago
yen is highest since WW2?
you mean 1990s
atmark666 7 months ago
Thank you, that was really informative and helps explain the motivation behind the central banks of Western Europe and US intervening to keep the Yen low.
Some questions:
What are the consequences if the Yen gets high? Why does it benefit the central banks to keep the Yen low?
Can this end?
Jdjohnjd 11 months ago