Mrs watanabe and the japanese yen carry trade mini case

Listen to the narrated PowerPoint for the Chapter 6 Mini-Case: Mrs. Wantanabe and the Japanese Yen Carry Trade.Preview the document This case discusses the mechanics and profitability of the carry trade and how, when global economic conditions are right, profits are possible. However, these investment strategy is not without its risks.

Please provide at least 1 (one) well- written and well-reasoned answer to the following discussion questions

Discussion Questions:

Why are interest rates so low in the traditional core markets of USD and EUR?
What makes this “emerging market carry trade” so different from traditional forms of uncovered interest arbitrage?
Why are many investors shorting the dollar and the euro?
Submission Instructions:
All responses in this discussion forum must be professional, well-reasoned, well-written, and free from profanity. This discussion assignment should reflect the fact that this is a written product for a graduate professional program. All responses should be professional, and if you disagree with a submission, keep it professional. Make any criticisms constructive. If ideas are not your own, please reference them with the appropriate internet link or written resource link.

Case Discussion Rubric

Page 1 of 2

Outstanding

100 points

Good

85 points

Average

75 points

Limited

65 points

Flawed

55 points

Demonstrates

Careful Reading

and Inquiry into

Subject

Discussion Post

• Shows serious contemplation of

readings.

• Shows original thought that goes

far beyond the

obvious.

Discussion Post

• Indicates reading was

completed.

• Addresses some of the questions

obvious answers.

Discussion Post

• Relies primarily on case summary

Discussion Post

• Suggests case scanned but not

read carefully

• Rehashes ideas from other posts

Discussion post

• Gives little indication that the

case was read and

assignment

completed.

• The Post was not relevant to the case

questions or current

discussion.

Responsibly cited

and provides

examples

Quotes used: • support writer’s

point (“proves”

it) • are original

(unexpected

quote choices

and/or uses

quotes from

multiple

places of the

text) • properly

integrated into

the discussion

• Properly

punctuated

Quotes used: • support writer’s

point (“proves” it) • are somewhat

predictable • are not well

integrated into

discussion

• some mechanical and/or

documentation

errors

Some quotes are

used, but: • There are too

few examples;

relies mostly on

generalization s • Some quotes do

not effectively

support writer’s

point • quotes are poorly

integrated

• citation errors • Diction is

ordinary

Some quotes are

used, but: • Paraphrase

dominates • quotes used are

not integrated • Quotes do not

make sense as

support • Quoted

material is out

of context

• Fails to use

capital letters or

punctuation

No quotes are used;

textual evidence

(even paraphrased

evidence) is flimsy

and/or

inappropriate • Citations are

missing

Case Discussion Rubric

Page 2 of 2

• Quotes are

properly cited.

• Contains multiple

documentation errors

Outstanding

100 points

Good

85 points

Average

75 points

Limited

65 points

Flawed

55 points

Engagement with

Others • Shows concerted

and honest effort

to engage

with others • Responds to

ideas in a way

that advances

discussion

beyond the

obvious • Interacts

easily &

accurately

with other

posts in the

thread

Responds in the

way highlighted

above at least 5

times.

• Shows attention

to other posts in

the thread • Incorporate s and

acknowledges

ideas

of others in

attempt to

advance the

discussion

(perhaps

in predictable ways)

Responds the way

described above 3-4

times.

• Offers little

interaction

with other

posts in the

thread • Mostly

summarizes

what others

have said

without adding

to discussion

Responds in the

way described

above 1-2 times.

• Does not

acknowledge

other posts • Misrepresents

content of other

posts

• Ignores other

posts in thread • Does not engage

with others