Just recently I have begun to grasp the concept of carry trades. After seeing the potential amount of interest one can earn on carry trades, such as holding a long GBP/JPY, I have great interest in them.
However, I have read several articles about how certain people are concerned about the yen weakness and how some people are warning against carry trades. From what I understand carry trades with the yen may be helping the depreciation of the yen currency. So my question is, are these carry trades morally or legally wrong? What are your thoughts?
However, I have read several articles about how certain people are concerned about the yen weakness and how some people are warning against carry trades. From what I understand carry trades with the yen may be helping the depreciation of the yen currency. So my question is, are these carry trades morally or legally wrong? What are your thoughts?