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Asian low-yield currencies' August 2024 rally versus recent moves
Brad Setser says almost all Asian low-yield currencies rallied when the yen shot up to 140 in August 2024, a pattern he says hasn't held recently.
TLDR
Setser contrasts the yen's move to 140 and rallies across almost all Asian low-yield currencies in August 2024 with more recent moves. He also says Japanese financial institutions, excluding banks that generally buy hedged bonds, have not been big bond buyers after COVID and the US rate shock, buying about $50 billion a year.
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