risk. Given that the top market makers in foreign exchange are at the heart of the market's information aggregation process …

.English Abstract: Carry trade returns have been explained using time inseparable utility functions which allow for volatile risk premia … goods. The model is implemented for countries that represent 99% of the world market turnover in bilateral foreign exchange …

a time-varying risk premium consistent with that bias. Using ten years of data on FX order flow we find that more than … find that carry trading increases currency-crash risk in that order flow generates negative skewness in FX returns. …