On today’s WALL STREET CONFIDENTIAL on TheStreet.com, Jim Cramer discussed the Yen-carry trade and the weakness.   He noted how the yen carry-trade has been around forever, where traders borrow at 0.5% in Japan to invest at higher rates elsewhere.  He thinks the Yen carry-trade potentially blowing up is all noise.  This drop is about the slow-down from subprime, from SunTrust (STI) warning, from other fresh warnings, he doesn’t like tech still.  If you look at what caused the fed to cut after the fact it will sound like the end of the world, but Cramer still thinks they’ll have to cut rates.  He again notes the food and beverage stocks as the group that is trying to bottom first.

Jon C. Ogg
March 1, 2007

Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.