Much of the euro weakness is being blamed on Japanese institutional investors letting bond holdings in Europe expire and bringing their cash home instead of roling them over into fresh investments. Japanese life insurers have been quite public in their lack of interest in overseas assets at the moment.
Upwards of EUR 45 bln in EUR-denominated bonds mature today, according to media reports. If even 10% are not rolled over, the impact can be significant.
EUR/JPY trades at 129.65 from 129.38 lows.
