Yen Rout Deepens as Investors Yank Cash from Invesco’s FXY Trust
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The Invesco Currencyshares Japanese Yen Trust, ticker FXY, saw investors pull roughly $5.82 million on January 21, 2026, adding to the pressure on a product designed to give U.S. investors exposure to the Japanese yen. The outflow represents about 1.27% of the fund’s latest reported assets under management, which stand at $456.87 million, signaling a meaningful shift in positioning away from the haven currency.
The related currency pair, FX:USD-JPY, is currently trading at 158.688, underscoring the yen’s ongoing weakness against the dollar. Over the past three months, the pair has climbed roughly 4.02%, reflecting a stronger dollar and market expectations of sustained policy divergence between the Federal Reserve and the Bank of Japan. The 1-day technical setup reinforces the bullish narrative for the greenback versus the yen, with a Strong Buy signal flashing on short-term charts.
The latest redemption from FXY suggests that investors are leaning into the momentum trade, favoring higher-yielding dollar exposure over the low-rate Japanese currency despite its traditional safe-haven role. With USD/JPY hovering near multi-decade highs, further flows out of yen-focused products could materialize if markets continue to price in a slower pace of policy normalization from Tokyo relative to Washington.
For a more detailed analysis and real-time sentiment trends, check the live currency exchange rates here.