By Summer Zhen HONG KONG (Reuters) – Trend-following hedge funds reversed their bearish views on Japanese stocks and started buying them late last week, J.P.Morgan analysts said in a note. Such hedge funds, known as commodity trading advisers or CTAs, use algorithms to profit from market trends. CTAs may have restored their positions in Nikkei
By Naomi Rovnick LONDON (Reuters) – Big investors are bracing for this summer’s stock market rout to run into the autumn, fearing a broader wave of selling will follow the turmoil sparked by U.S. recession concerns and the Bank of Japan wrong-footing currency speculators. The sudden reversal of crowded equity and foreign exchange trades that
By Carolina Mandl and Vidya Ranganathan NEW YORK/SINGAPORE (Reuters) – This week’s huge selloff in global markets, triggered by an unwinding of yen-funded trades, is far from over and could eventually spread to credit markets, impair some banks and possibly hurt the U.S. dollar, fund managers say. By Thursday, market volatility had subsided but stock
(Bloomberg) — Stocks struggled after rally driven by the Bank of Japan’s reassurance in the wake of historic market volatility, with Treasuries falling amid a weak $42 billion sale of 10-year bonds. Most Read from Bloomberg Following a surge of almost 2% earlier in the session, the S&P 500 was little changed. Bonds also came
Investors are keeping a close eye on the stock market this morning following Japan’s sharp dive on Monday, the biggest drop since 1987. Japanese markets bounced back quickly by Tuesday morning, but the drop in stocks caught the attention of investors around the world. Pete Tibbles from BOK Financial joined New 9 at 9 with more information on the stock market drop and how it could affect the American economy. He said the drop was caused by what they call a carry trade. “After COVID, central banks raised rates significantly to combat inflation, but that did not happen in Japan, and so a lot of people borrowed currency,” Tibbles said. He
By Makiko Yamazaki and Satoshi Sugiyama TOKYO (Reuters) -Japanese Prime Minister Fumio Kishida said on Tuesday it was important to make calm judgements about the volatile market situation, with stock prices experiencing whiplash. The Nikkei stock index soared more than 8% early on Tuesday in a relief rally after plummeting 12.4% in its worst sell-off
Global markets are starting the week deep in the red amid a large sell-off partially triggered by the Bank of Japan’s decision to raise rates. Following the bank’s decision to raise rates to 0.25%, Japan’s Nikkei 225 Index had its worst day since March 2020, dropping 5.9%. Then, on Monday, the Nikkei experienced its worst
NEW YORK (AP) — Markets on Wall Street and around the world are in a mini-panic. Worried about a slowing U.S. economy, investors sent the market in Japan to its worst day in decades and have sliced billions in market value off some of the world’s biggest technology companies. They’ve turned a relatively calm year
By Summer Zhen HONG KONG (Reuters) – Global hedge funds made a massive retreat from their bearish bets on the Japanese yen during the currency’s strong rise against the U.S. dollar over the last two weeks, a UBS note to clients seen by Reuters on Tuesday said. Hedge funds covered nearly all the short yen
By Amanda Cooper and Brigid Riley LONDON/TOKYO (Reuters) – Japanese official buying to defend the yen is fast becoming a standard feature of the FX landscape in 2024, but authorities in Tokyo have switched up their methods, making it even trickier for investors to second-guess when and how they might step in. The novel intervention