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News
Transcript
00:00According to BIS, the Bank of International Settlements, which is sort of like a group of
00:04banks that report on information, they say that the loans outstanding from one country to another
00:11denominated in yen is valued at 41 trillion yen. But economists also say that's not an accurate
00:21measure of how big carry trades actually are. And that's because foreign exchange borrowing
00:27is not actually included or counted on a bank's balance sheet. Instead, it's hidden within what's
00:35called foreign exchange swaps. And the swap market, including the yen, totals 14.2 trillion US dollars.
00:46That money is not counted as debt. It goes completely unrecorded because there is no spoon.
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