JPMorgan Says Carry Trade Unraveling Is Only Half Complete
- We aren’t done by any stretch, says global FX strategy co-head
- The moves come amid fears of US recession, Japan rate hike
Yen carry trades were among the most popular as volatility remained low.
Photographer: Shoko Takayasu/BloombergThis article is for subscribers only.
The recent unwinding in carry trades has more room to run as the yen remains one of the most undervalued currencies, according to JPMorgan Chase & Co.
“We are not done by any stretch,” Arindam Sandilya, co-head of global FX strategy, said on Bloomberg TV. “The carry trade unwind, at least within the speculative investing community, is somewhere between 50%-60% complete.”