Saxo warns yen strength may trigger crowded trade unwind

TREE NEWS reports: Saxo Markets warned that yen appreciation against the dollar could trigger unwinding of crowded, highly leveraged positions in global equities. Charu Chanana, chief investment strategist at Saxo in Singapore, flagged risks from high-valued software and AI semiconductor stocks to rate-sensitive assets like REITs. She noted that the most vulnerable areas combine high valuations, crowded positioning, high leverage, and low liquidity.