Thanks for your comment! Yes, absolutely, as I mentioned in my post, central banks will be easing rates. Therefore, much caution should be exercised. At the same time, though, differentials should still be high, at least for the foreseeable future, and prices are extremely overextended at this time. While now may not be the best time and place to enter, there could possibly be some opportunity a bit down the road, especially if and when these carry traded pairs have already solidly hammered out clear bottoms. Thanks for your insight, Christian!

- James

Quite right, now isn’t the time.
The RBA, RBNZ, ECB and the BOE are in the beginning of an easing cycle. I don’t think carry trade should be seriously considered until the cycle has been completed and that they are looking at increasing rates again (and providing the BoJ aren’t looking at increasing their rates at that time)

Best,
Christian