CFTC data show hedge funds increased net short positions in yen futures and
options to about 138,000 contracts in the week to June 30, the most bearish
positioning since 2007. The yen fell to its weakest since 1986, slipping below
162 per dollar, fueling renewed expectations of Japanese FX intervention;
Japan's finance minister reiterated authorities can intervene at any time and
Tokyo deployed record-sized support in late April–May. Markets view a widening
US–Japan rate gap as the main driver of yen pressure, and say recent BOJ rate
hikes have not reversed the weakness.
