Don't get caught holding Japanese yen
News On Japan via Forbes -- Jan 24
Oppenheimer International Bond Fund has historically held around 15%-20% of its assets denominated in one of the largest currencies in the world, the Japanese yen. That shouldn't be surprising, after all Japan is the second largest issuer of debt in the world, behind only the U.S.
But now we've cut the Fund's yen exposure to almost zero.1 That's right, the yen is the biggest weight in our stated benchmark index, and we have almost none of it2 and we plan on having none of it for a while. It is one of our highest conviction bets in the portfolio. The yen has been one of the biggest movers in the currency world this year, losing 3% of its value against the U.S. Dollar as of January 18, and weakening almost 15% since the end of September 2012 (see the chart below). In our mind's the yen's fall isn't done, either, we think this is just the beginning of a longer, more significant structural trend of yen weakness.
|| Man stabbed in possible dispute over son's girlfriend |
| || Kochi prefectural police are investigating an incident involving a man who sustained severe injuries after being stabbed several times in the abdomen. Police said they believe the attack is linked to a dispute the victim was having with another man over their children dating. (Japan Today ) |
|| 3 cats found mutilated to death in Ehime park |
| || Police in Niihama, Ehime Prefecture, are investigating the mutilation deaths of three cats whose bodies were left in a park. Two were found dead in February, and the third was found on Saturday. (Japan Today ) |
|| Thousands protest in Japan ahead of Fukushima anniversary |
| || Banging on drums and waving "Sayonara nukes" signs, thousands of people rallied in a Tokyo park and marched to Parliament on Sunday to demand an end to nuclear power ahead of the third anniversary of the Fukushima disaster. (scmp.com ) |
|| Fewer than 40 pct of Tokyo residents, commuters prepared for quake |
| || Fewer than 40 pct of residents and commuters in Tokyo take specific measures to prepare for a possible huge earthquake beneath the Japanese capital, despite high awareness on disaster prevention, a Metropolitan Police Department survey showed Friday. (Jiji Press ) |
|| Blizzard pummels northern Japan |
| || A blizzard struck northern Japan on Friday with authorities warning of avalanches, high waves, strong winds and traffic disruption. (thehindu.com ) |