Investors Cut Back on Yen Bearish Bets as ProShares UltraShort Yen Sees Notable Outflows
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ProShares UltraShort Yen (YCS) recorded sizeable redemptions on January 23, 2026, with investors pulling approximately $2.62 million from the fund. The withdrawal amounts to about 6.7% of the ETF’s latest assets under management, which now stand at roughly $39.1 million, signaling a meaningful reduction in conviction on leveraged bearish yen positions.
The related asset, FX:USD-JPY, is currently trading at 155.698, up about 2.27% over the past three months. Despite that medium-term advance in the dollar against the yen, the pair’s 1-day technical signal has flipped to Sell, hinting at near-term pressure on USD/JPY or at least a pause in the recent uptrend.
The contrasting signals—a modest three-month rise in USD/JPY alongside a short-term sell indication and a sharp outflow from a leveraged short-yen vehicle—suggest that traders may be trimming aggressive directional bets and reassessing the pace of further yen weakness. Some market participants appear to be locking in gains or hedging the risk that policy shifts from the Bank of Japan or changing rate expectations in the U.S. could temper the dollar’s dominance.
For a more detailed analysis and real-time sentiment trends, check the live currency exchange rates here.