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Fluctuations in Exchange Rates and the Carry Trade

Kyuil Chung* Òscar Jordà**

The views expressed herein are those of the authors and do not necessarily reflect the official views of the Bank of Korea. When reporting or citing it, the authors’ name should always be stated explicitly.

_________________________________

  • *

    Institute for Monetary and Economic Research, The Bank of Korea (Tel: +82-2-

759-5404, E-mail: kichung@bok.or.kr). ** Department of Economics, U.C. Davis (Tel: +1-530-554-9382, E-mail: ojorda@usdavis.edu). This work is compiled with the financial support of the BOK. We are grateful to Craig Burnside and other participants in the Bank of Canada-Bank of Korea Joint Conference held in September 15-16, 2009 for their helpful comments. All errors are ours.

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