carry trade

British

noun

finance a speculative transaction in which a trader buys the currency of a country with a high rate of interest and sells the currency of a country with a low rate of interest

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Example Sentences

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carry trade

“Going long France and short Germany, that intra-Europe carry trade has gotten crushed,” said Calenti.

From The Wall Street Journal ● Oct. 3, 2026

They added that fears around a Japanese-driven carry trade unwind are overblown.

From MarketWatch ● Sep. 23, 2026

A carry trade unwind, a selldown in U.S.

From The Wall Street Journal ● Sep. 9, 2026

The yen carry trade involves borrowing lower-yielding yen to buy higher-yielding U.S. dollars, then using those dollars to invest in U.S. assets such as technology stocks.

From MarketWatch ● Sep. 8, 2026

This gap means investors borrow yen cheaply and invest in other assets outside Japan with better returns -- known as a "carry trade" -- resulting in capital outflows and more downside for the yen.

From Barron's ● Aug. 3, 2026

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Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023