Real Rates Matter Most to FX Market: Gkionakis

The transcript discusses the current market conditions, focusing on the Bank of Japan's bond purchases and the impact of real rate differentials on the dollar-yen exchange rate. It also examines the potential effects of Trump's economic policies, particularly infrastructure stimulus, on inflation and interest rates. The conversation highlights the importance of considering global trade surpluses and political uncertainties, especially regarding Japan and the US, in market assessments.

What factors contribute to the weakness of the yen in the current market?

In what ways might the Japanese currency be affected by US political actions?