Ruffer was known as “50 Cent” for buying 50-cent Vix options and making a fortune in Volmageddon before making $800mn in 2020 when markets crashed. It has a new bag.
In his recent investor letter, £24bn UK investment business chair Jonathan Ruffer said it had a....
big position” in the Japanese yen and expects it to rise “violently”:
Alphaville posted the letter in Further Reading last week but wanted to revisit it because it's delightfully contrarian. Ruffer must be losing its gamble.
After drifting past 150 against the US dollar again, the Japanese yen may provoke Bank of Japan action.
It will be weakest against the dollar since the early 1990s Japanese bubble crash if it breaks that barrier again.
According to JP Morgan, the US dollar-Japanese yen inflation-adjusted value gap is the largest in global currency markets, providing fuel for a rise.
BCA's international expert Peter Berezin believes 2024 will be the "year of the yen" as "the stars are aligned in a way that could see the yen rise".