Trying to understand the economics background of the recently JPY carry trade reversal.
Understanding the JPY/USD exchange rate by comparing Japan and US in terms of their
* stock index
* currency interest rate
* central bank balance sheet.
The template shows an equity price (e.g. QQQ) comparing to SPY,
with indicators of major economic variables
1. Unemployment rate (UNRATE);
2. CPI index (USCCPI);
3. Interest rate (USINTR);
4. FED balance sheet (USCBBS);
5. Dollar strength (DXY);
Unemployment rate and CPI are the two major conflicting variables that central bank (FED) tries to balance, via the...
