Japanese Investors Sell Foreign Bonds for Fifth Week
Japanese investors sold foreign bonds for a fifth straight week as rising domestic yields encouraged capital to return home. The selling streak reflects a shift in allocation strategy amid higher Japanese government bond yields.
Investors in Japan sold a net 161.6 billion yen ($1.02 billion) of foreign long-term bonds through October 17, marking their fifth straight weekly disposal. This selling streak is the longest in four years as rising yields at home attract domestic capital back to local markets. The shift highlights a changing allocation strategy as the benchmark Japanese 10-year bond yield climbs over 80 basis points this year.
