It's paradoxical. The strengthening of Japan has given Japanese retail money more appetite for risk, and that means overseas bonds.
It seems like dollar/yen has at least found a temporary bottom. And with the euro we've tried the lows and the highs and now the market is going into a bit of a comfort zone.
We're seeing continued interest from Japanese investors to sell the yen and go for yield. And the market has already jumped on the BOJ issue so by the time the fact comes out it could be a non-event.
There is a lot of liquidation of short yen positions, and I'm not sure if it is over yet. This kind of stuff will not end in a day.
