Bank of America have a Q3 'pain trade', stronger yen & lower NASDAQ a large part

<p>Bank of America strategists in a weekly commentary, they highlight a new pain trade as </p><ul><li>lower bond yields</li><li>lower Nasdaq</li><li>stronger yen</li></ul><p>Saying:</p><ul><li>everyone is minting the same long T-bills, long Nasdaq barbell</li><li>and thus the biggest Q3 pain trade is lower yields, lower Nasdaq, plus higher yen</li></ul><p>BoA note that:</p><ul><li>"no one has that on"</li></ul><p>More in the FX space, BoA say the biggest carry trade this year has been long MXN, short JPY. But its been ourpaced by the 30 odd % gain for the NASDAQ … up until today anyway:</p><ul><li><a href="https://www.forexlive.com/news/nasdaq-index-down-nearly-2-20230720/" target="_self" rel="follow">NASDAQ index down nearly 2%</a></li></ul><p>On tech stocks, they say "sell the last hike" by the Fed move will hit tech the hardest.</p>

This article was written by Eamonn Sheridan at www.forexlive.com.