The move higher in the Yen caused some weakness in the gold price and took silver down off its best levels but it appears that some of the short covering in the Yen is already abating.
Thursday, April 7, 2011
Japan Earthquake news sparks some unwinding of the Yen carry trade
News that another earthquake has struck Japan sent some of the hedgies unwinding yen carry trades as a bit of a move away from risk. Both the US Dollar and the Yen popped higher on the news with some weakness being seen across the commodity sector in selective markets.
The move higher in the Yen caused some weakness in the gold price and took silver down off its best levels but it appears that some of the short covering in the Yen is already abating.
The move higher in the Yen caused some weakness in the gold price and took silver down off its best levels but it appears that some of the short covering in the Yen is already abating.
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