Flash: Crowded house of Yen – BTMU

FXstreet.com (London) - Lee Hardman at The Bank of Tokyo-Mitsubishi UFJ said the speculative short yen positioning is becoming an increasingly crowded trade in the near-term.

Key Quotes:

“ The latest IMM report revealed that speculators have increased speculative short yen positions for three consecutive weeks up to the week ending the 19th November”.

“It was the highest short yen speculative position since the record high from June 2007, which represented the peak popularity of the yen funded carry trade prior to its disorderly unwind during the global
financial crisis”.

“The report suggests that speculative short yen positioning is becoming an increasingly crowded trade in the near-term which has likely been built up further over the past week as yen weakening momentum has accelerated”.

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