Japan’s Retail Investors Cut Yen Shorts on BOJ Tweak Bets

Japan’s retail investors are cutting bets on a weaker yen, especially against Europe’s major currencies, amid an expectation the country’s central bank will inevitably normalize its ultra-loose policy.

Individual investors cut long euro-yen positions to the lowest since June 2021, while long pound bets against the Japanese currency fell to the lowest since 2020, according to data from Tokyo Financial Exchange Inc.’s Click 365. Yen shorts against the dollar fell to the lowest in a month.