For investors seeking momentum, CurrencyShares Japanese Yen Trust FXY is probably on radar now. The fund just hit a 52-week high, and is up about 6.7% from its 52-week low price of $83.54/share.
But are more gains in store for this ETF? Let's take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
FXY in Focus
FXY appears a great way to play a rise in the yen relative to the U.S. dollar. It tracks the movement of the Japanese yen relative to the U.S. dollar, net of Trust expenses, which are expected to be paid from the interest earned on the deposited Japanese yen. The product has accumulated $217.3 million in its total asset base and has 40 bps in expense ratio (see: all the Currency ETFs here ).
Why the Move?
The Japanese currency ETF has been an area to watch lately as investors are flocking to safe havens amid heightened uncertainty and volatility. This is especially true, as the global fundamentals are getting worse with relentless geopolitical tensions and uncertainty over the Fed's rate cut in the near term as well as U.S. tariffs. In particular, yen is considered a safe haven currency in times of uncertainty.
More Gains Ahead?
The fund has a Zacks Rank #3 (Hold) and a positive weighted alpha of 4.10 , which hints at more gains. So, there is definitely still some promise for those who want to ride on this ETF a little longer.
Want key ETF info delivered straight to your inbox?
Zacks' free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Invesco CurrencyShares Japanese Yen Trust (FXY): ETF Research Reports To read this article on Zacks.com click here. Zacks Investment Research Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report