Hedge Funds Turn Most Bearish on Japanese Yen Since 2007 as CFTC Shorts Near 138,000 Contracts
- Leveraged funds have boosted net short positions on the yen to nearly 138,000 contracts as of June 30, the most bearish CFTC reading since 2007, Bloomberg reported.
- The yen has been trading near its weakest level in roughly four decades, recently past 162 per dollar, as the U.S.-Japan rate differential stays wide (Bloomberg).
- The yen weakness adds an FX/inflation cross-current for Fed-watchers and is feeding into broader Asia rotation stories, with hedge-fund positioning now a key tell for any BOJ intervention risk.