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Hedge Funds Turn Net Long Yen for First Time Since 2021

Hedge Funds Turn Net Long Yen for First Time Since 2021

Bitget2024/08/16 22:35

Hedge funds have turned bearish on the yen for the first time since 2021, after sharp volatility in the foreign exchange market led to a surge in a popular yen trade. According to the latest data from the U.S. Commodity Futures Trading Commission (CFTC) for the week ending Aug. 13, leveraged funds held 86 contracts worth about $7 million betting that the yen would strengthen, as speculators in general braced for a rise in the yen, marking a sharp turnaround from the extreme negativity that traders saw in early July. A week ago speculative traders held about 20,000 contracts betting on a weaker yen. These traders have been reducing their short bets since early July. Since the beginning of July, the yen has gained about 9% against the dollar, outperforming all other G10 currencies.

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