Passport

Yen soars as the Dow sinks (updated)

Back in July, Passport speculated that the yen-carry trade was not sustainable. But I don’t think any of us thought it would unravel so quickly. The Dow Jones industrial average sank another 300-plus points this afternoon, but the yen is having a banner day. For those of you who bought Japanese currency last month, congratulations. ...

By , a former managing editor of Foreign Policy.
599921_070816_hangseng_05.jpg
599921_070816_hangseng_05.jpg

Back in July, Passport speculated that the yen-carry trade was not sustainable. But I don't think any of us thought it would unravel so quickly. The Dow Jones industrial average sank another 300-plus points this afternoon, but the yen is having a banner day. For those of you who bought Japanese currency last month, congratulations. It was a smart bet.

Back in July, Passport speculated that the yen-carry trade was not sustainable. But I don’t think any of us thought it would unravel so quickly. The Dow Jones industrial average sank another 300-plus points this afternoon, but the yen is having a banner day. For those of you who bought Japanese currency last month, congratulations. It was a smart bet.

As for the rest of you investors out there, we feel your pain.

UPDATE: A late rally saves the day!

SAMANTHA SIN/AFP/Getty Images

Blake Hounshell is a former managing editor of Foreign Policy.

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