THE YEN CARRY TRADE IS DEAD
The market is now staring down a 90% certainty: the Bank of Japan is hiking rates mid-December. This isn't just a local event; it’s the catalyst for the unwinding of the infamous yen carry trade—a multi-decade engine of global liquidity.
We just watched $643 million in leverage vaporize across global assets last week as traders scrambled to close positions. This massive liquidity shift is the real story. When cheap money disappears from the system, the ripple effect is profound.
Experienced macro traders know this dynamic is the primary headwind for risk assets. Monitor $BTC closely, as futures markets are the first place to feel the pressure when global funding costs fundamentally change. This is a structural shift, not a blip.
This is not financial advice. Trade at your own risk.
#MacroAnalysis #Liquidity #BOJ #BTC #CarryTrade 👁️
