Global Market: Japanese investors extend foreign bond selling streak to six weeks

Robinson Worldwide127.60(-11.14%)Lennox Intl332.64(-10.59%)Losers»The benchmark 10-year US Treasury yield, which climbed to a 24-1/2-year high of 5.3645% earlier this month, has since declined by around 37.2 basis points.Read more: Global Market: China’s yuan hits four-year high against dollar after Fed holds ratesAccording to Reuters, market participants have been monitoring Japanese investors' selling of global fixed-income assets to assess whether rising domestic yields are encouraging a significant repatriation of funds, with potential implications for both Japanese and overseas markets.Live EventsJapanese investors have sold a net 5.27 trillion yen of foreign long-term bonds so far this year, the highest net selling for the corresponding period since 2022.In equities, Japanese investors purchased a net 288.1 billion yen of foreign stocks, extending their buying streak to six weeks out of the past seven.Read more: Global Market: South Korean shares fall 2% as Samsung Electronics slides after earningsForeign investors also returned to Japanese equities, injecting a net 1.18 trillion yen during the week, reversing marginal outflows of 67.5 billion yen in the previous week.

The Nikkei's low of 61,462.61 last week held just above its 200-day exponential moving average of around 61,367.Foreign investors purchased a net 43.3 billion yen of Japanese long-term bonds during the week, the lowest inflow in four weeks. Meanwhile, Japanese short-term bills recorded a second consecutive week of net foreign outflows, totalling 1.18 trillion yen, Reuters reported.(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times.)(You can now subscribe to our ETMarkets WhatsApp channel)