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To: Jan Crawley who wrote (40233)2/15/1999 11:47:00 PM
From: Sarmad Y. Hermiz  Read Replies (1) | Respond to of 164684
 
Jan,

<If the repatriation of the Yen is taking place right now, does it mean that they have lost 25% of their principle from 6 months ago? >

That's what GST is pointing out. 6 months ago they spent 140 yen to buy $1 treasury bond. If they sell their bond today they get 116 yen (plus a couple of yen as interest.)

So yes, the "yen carry trade" lost its practitioners 20% or so.

-Sarmad