The jump in developed world yields caused ripples in currency markets, particularly in carry trades where investors borrow yen at super-low rates to invest in high yielding emerging market currencies. The net result was a rush to close yen short positions which saw the Japanese currency rally across the board last week. The dollar was last sitting at 142.30 yen, after sliding 1.3% on Friday, while the euro held at 155.96 yen. The single currency was firm on the dollar at $1.0962.
