Quickly - back into the Carry trade!

Discussion in 'Trading' started by dhpar, Mar 5, 2007.

  1. dhpar


    well - the sooner the better.
  2. stick a fork in it. party's over
  3. 114.xx then 109.xx are good entries ..
    but if fed fund futures are correct about rate cuts (which I don't agree with), then who knows.
  4. dhpar


    well since I called it Yen is weaker by 50 cents already....

    And exactly because rate cuts in US are a wet dream we are going to stay with carry trade for some time - 4.75% interest rate differential is sweet + those who enter it quickly will get Yen deprecciation as a cherry on top of it.....
  5. dhpar


    wow - I have to pat myself....Yen almost full figure down.
  6. If I buy yen from my US brokerage account, will I receive the US interest rate on those yen, or japan's interest rate?
  7. dhpar


    what you get depends on your broker - In most cases they will screw you. But of course it should be JPY rate.
  8. too big too fail.

    look at what happened the last few days.
    a few people decided to get out of the yen carry trade and all hell broke loose.

    the authorities will never let this trade collapse.the consequences are too big for everybody.

    im gonna go long usdyen and buy stocks. its easy money.
  9. Are there ETFs in japan for US stocks, like there is the EWJ EWT etc in the US? If so, could I not buy yen and use them to buy jpy denominated US ETFs on margin paying just 1 or 2% interest? This way wouldn't I avoid the USD devaluation risk (if my base currency isn't USD but I want to invest in the US markets)?
    #10     Mar 6, 2007