Foreign Investors Sell Record Net Amount Of Japanese Bonds After YCC Tweak

Japanese MoF data covering the week ending 23 December revealed the largest ever round of net weekly sales of Japanese bonds on the part of foreign investors (Y4.8623tn), with the BoJ’s surprise tweak to its YCC settings facilitating those particular flows.

• Elsewhere, Japanese net sales of international bonds continued for a third straight week (and the eighth week in nine) but moderated a touch in net terms (Y459.5bn).
• Japanese net purchases of international stocks were registered for a fourth straight week, although net levels weren’t particularly standout (Y517.1bn).
• Finally, international investors were small net sellers of Japanese equities for a second consecutive week (Y265.1bn).