The Japanese Yen will surge to 110-120 against the dollar as the government forces domestic investors to stampede their massive overseas wealth back home.
Japan is preparing to suck a trillion dollars of overseas investments back home, which will ignite a massive rally for the deeply undervalued yen.
Japanese investors just dumped 970.5 billion yen of foreign bonds to bring capital home, forcing a massive yen rally as the central bank hikes rates.
The Bank of Japan is too scared to hike rates, guaranteeing the yen will keep sinking past 162 as investors chase higher yields in the United States.
With Japan's yield curve steepening, local investors are dragging their massive foreign capital back home, setting the yen up for a major rally.
Short USDJPY — dollar weakens vs. yen, USDJPY rate falls