More On The Carry Trade, The Eurozone & Earnings

While carry traders likely have more yen-funded positions to unwind, we’re not worried about another bout of extreme market volatility as a result. We don’t see the conditions that sparked the great unwinding exacerbating, Eric explains. The Bank of Japan is unlikely to tighten dramatically with the yen’s recent strength helping to tame inflation there. The yen is unlikely to rise dramatically more, tethered by tamer inflation in Japan and strong economic growth in the US. … Also: Melissa reviews the Eurozone’s daunting economic challenges. … And: Joe gives us an overview of the strong Q3 earnings that analysts are forecasting for the S&P 500, the Magnificent-7, and the “S&P 493.”