Whenever USD/JPY rallies, the FX market can normally dig up a story that Japan’s Government Pension Investment Fund (GPIF) is behind it. Recall the GPIF is one of the world’s largest fund managers with JPY168trn ($1.5trn) of assets under management and has quite an aggressive weighting towards overseas assets. Markets have been speculating on a change in the GPIF’s portfolio weights for the last six months and these may be announced March 31st, ahead of the new fiscal year. Press reports widely suggest that equity allocations will remain unchanged, 25% each to both domestic and foreign equities. The big story, ... (full story)