Japanese investors went on a record shopping spree in global debt markets last week as the yen strengthened and their hunt for yield intensified.
Net buying soared to ¥4.24 trillion ($41 billion), surpassing the previous high of ¥2.55 trillion set in July 2016, according to preliminary figures from the Finance Ministry going back to 2005.
The data suggests that far from being scared off by the coronavirus pandemic and fears in the oil market, normally cautious Japanese investors helped drive the debt rally last week. The fund flows for the record purchases were so great that they likely curbed what would have been an even larger gain in the yen.