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The crazy move of the Yen is more than concerning. The death of the carry trade is in the air and it has the potential of another nail in the Euro's coffin. It's happening in the shadow of the USD/Yen pair.
Since it's a funding currency for risk assets, don't you think it's about the recent stock market weakness?
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Ueda mentioned difficult challenges coming soon. And the market got scared starting to think they will hike rates this month. We will see. Carry trade unwind can be wild.
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It's probable. But it won't last imo as the world knows that a la long there is only one save haven (besides our little revolution) and that is the USD and the US capital market.
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