Yen Is Wall Street’s Favorite Trade

  • Japan’s currency outshines peers in March despite recent drop
  • Banks see further gains after yen hit three-decade low in 2022

Japanese 1,000 yen banknotes 

Photographer: Kiyoshi Ota/Bloomberg
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The yen is making a comeback as a preferred foreign-exchange haven, after banking crises in the US and Switzerland hurt the dollar and franc’s standing as go-to assets for turbulent times.

It’s a change of fortunes for the Japanese currency, which only a few months ago needed the support of policymakers to revive it from a three-decade low. It’s the world’s best-performing major currency this month and for the likes of DWS Group, JPMorgan Chase & Co. and Morgan Stanley, the yen is the next big trade.