Goldman Sachs identifies yen as effective hedge against AI market shock

Goldman Sachs strategists argue that Japan's domestic policy settings have made the yen less reactive to rising global yields, positioning it as an effective hedge against an AI market shock. The bank recommends shorting USD/JPY as the most effective hedge against general growth wobbles or a broad AI shock, noting that a tech selloff recently pulled Japan's Nikkei 225 well below its record high.