Reported 2 months ago
The recent fluctuations in the Japanese yen have a significant effect on the US stock market, particularly tech stocks, due to a carry trade where investors borrow in Japan at low rates to invest in higher-yielding assets elsewhere. As Japan slowly increases its interest rates, capital is beginning to flow back into the yen, which influences the overall market dynamics. Analysts suggest that the recent selling pressure in US markets may be nearing its end, indicating a potential stabilization after a period of turmoil.
Source: YAHOO