Global markets are again watching the yen carry trade (borrowing yen to buy higher-yielding assets) as expectations for further Bank of Japan rate hikes and yen appreciation strengthen. The dollar-yen rate was around 153 yen on the 9th after falling 1.2% to about 154 yen on the 7th from roughly 156 yen. The yen gained 3.4% from the start of the month through the 7th, the strongest performance among major currencies, while the won rose 1.6%. Researchers at Korea Investment & Securities and Hyundai Motor Securities said a sharp unwinding similar to August 2024 remains unlikely because two potential BOJ hikes are already priced in, speculative net yen selling is about half its 2024 level, and the U.S.-Japan interest-rate gap is narrowing more slowly. They said a sudden shock to assets such as U.S. stocks could still trigger broader risk aversion and forced position unwinding. Further yen gains remain possible if the Federal Reserve pauses while the BOJ and European Central Bank raise rates; the yen could gradually reach around 150 per dollar by year-end.