Japan Speculators Turn Net Long on Yen for First Time Since February

Speculators in Japan have turned net long on the yen for the first time since February. According to Reuters, this shift indicates stronger market support for the Japanese currency.

Futures data from the U.S. Commodity Futures Trading Commission showed that in the week through September 8, net non-commercial positions in yen futures totaled 10,796 long contracts. This is a significant change from the previous week, when the net short position stood at 92,227 contracts.

This marks the first overall net long position in the yen since February 24. The strengthening of the yen has been driven by expectations of an accelerated schedule of rate hikes by the Bank of Japan and a possible return of assets to the country by local investors.