Yesterday I reported that the Israeli regulators started to crack down on Forex and now Reuters reports that the Japanese FSA has decided on the proposed leverage reduction. This has been a matter which has long been discussed by the local regulators. US regulators have also recently started to take an interest in leverage reduction, according to Tom Herod. The Japanese regulators decided to cap the leverage at 50 times the collateral beginning this month (August ’09) and to reduce it even further to 25 times a year after. Unfortunately the Japanese regulator has now joined the US one in its unnecessary requirement ... (full story)