BAML: Sell Japanese Yen As Hedge Fund Bets Hit All Time High

Is it time to sell Japanese yen?

The yen and quantitative easing has been the subject of a casual love / hate relationship for hedge fund managers. It wasn’t more than two years ago short yen exposure was the hot and, some say, crowded trade. Fast forward to today’s report from Bank of America Merrill Lynch and we can see just how far that sentiment has turned.

The crowd is long: sell Japanese yen, go against the grain

Today the yen is loved on the long side of the trade. Citing CFTC data, BAML FX strategist Christopher Xiao notes...