Zulu89 Junior member Messages 42 Likes 1 Jul 14, 2009 #1 Since interest rates are low all round, why are investor buying the yen? The Japanese economy isn't doing particularly well. Help undersatnding the reason for this, would be appreciated.
Since interest rates are low all round, why are investor buying the yen? The Japanese economy isn't doing particularly well. Help undersatnding the reason for this, would be appreciated.
R Rhody Trader Senior member Messages 2,620 Likes 266 Jul 14, 2009 #2 "Buying" may not be the best term here. "Covering shorts" is probably more correct. Whenever risk aversion increases carry trades are unwound.
"Buying" may not be the best term here. "Covering shorts" is probably more correct. Whenever risk aversion increases carry trades are unwound.