Archive · 20 Nov 2025

Japan's Rate Surge Threatens Global Yen Carry Trade

Japan's Rate Surge Threatens Global Yen Carry Trade

Japan's sudden increase in borrowing rates is causing worry worldwide.

For a long time, people borrowed money in Japan at very low rates and made a profit by investing it in other countries.

Now, this is becoming harder to do, and people are worried about losing money.

Japan is doing this because prices are rising faster than usual, but wages are not keeping up.

Sources