Yen Bears Hit Reverse as ProShares UltraShort Yen Sees Heavy Outflows
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ProShares UltraShort Yen ETF, YCS, recorded a sharp outflow of $5,058,595 on January 26, 2026, a move that erased roughly 15.8% of its $32,016,517 in assets under management. The sizeable redemption suggests investors are scaling back leveraged bets against the Japanese currency after an extended period of dollar strength versus the yen.
The related asset, FX:USD-JPY, is currently trading at 153.302. Over the past three months, the pair has been essentially flat, with a marginal 0.014% gain, underscoring a market that has stalled after a powerful, multi-quarter rally in the dollar. Short-term momentum has softened as well, with the 1-day technical signal flashing Sell, hinting at the possibility of near-term yen strength or at least a pause in dollar advances.
The combination of a flat three-month price profile in USD/JPY and a bearish short-term technical tone appears to be driving traders to lock in profits on leveraged short-yen positions. With nearly one-sixth of YCS’s capital exiting in a single session, positioning in currency ETFs is increasingly aligning with the view that the dollar’s most aggressive phase against the yen may be behind it, even if longer-term rate differentials still favor the greenback.
For a more detailed analysis and real-time sentiment trends, check the live currency exchange rates here.