FX.co ★ Japan’s Foreign Bond Sales Ease as Outflows Narrow in Latest Data

Japan’s appetite for foreign bonds showed signs of stabilizing, with the latest data indicating a smaller net outflow compared with the previous period.

According to figures updated on 08 July 2026, Japanese investors recorded net foreign bond purchases of -218.1 billion yen, an improvement from the prior reading of -277.5 billion yen. While the negative values still point to net selling of overseas debt, the reduced magnitude suggests that the pace of liquidation is moderating.

The shift may hint at a tentative return of confidence in foreign fixed-income markets or a recalibration of portfolio strategies by Japanese institutions, as they slow the rate at which they are unwinding overseas bond positions.