Bloomberg
Carry Trade Funding May Shift to Yuan From Yen, BBVA Says
Thursday, September 3, 2026
BBVA SA stated that the Chinese yuan could become more attractive than the Japanese yen for carry trade funding if the Bank of Japan raises interest rates further. Carry trades involve borrowing in low-interest currencies to invest in higher-yielding assets. BBVA analysts said a yuan-based strategy could emerge if the Bank of Japan follows through on expected rate increases.
