carry trade

British  

noun

1. 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

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Example Sentences

See Examples For:

carry trade

For instance, there would need to be a larger, more fundamental shift for the yen to begin strengthening in a way that fully unwinds the carry trade.

From MarketWatch ● Jul. 14, 2026

With markets anticipating Fed rate hikes and gradual tightening by the Bank of Japan, the so-called carry trade is in full effect.

From The Wall Street Journal ● Jul. 2, 2026

That would add to the belief that dollar’s strength is here to stay, and could reduce the risk of big currency moves that blow up the carry trade.

From MarketWatch ● Jul. 2, 2026

Investors have long borrowed cheaply in the Japanese currency and put the cash to work in higher-yielding markets, a tactic known as the yen carry trade.

From Barron's ● Apr. 30, 2026

Face it, the yen carry trade of borrowing cheap at near zero interest rates is dying.

From The Wall Street Journal ● Feb. 15, 2026