The $10.2 billion WisdomTree Japan Hedged Equity Fund (NYSEArca: DXJ) was higher in early U.S. trade Tuesday, benefiting from gains in Japanese stocks and a weaker yen.
DXJ, the top-selling ETF this year, rose 1.2% in premarket action after dropping about 3% on Friday. The ETF lost more than 6% last week. [Individual Investors on the Hook for Japan ETF Losses]
The WisdomTree fund hedges its currency exposure, so it isn’t hurt when the yen falls against the U.S. dollar.
The yen was lower Tuesday after an adviser Japan’s Prime Minister Shinzo Abe said the nation’s central bank can launch even more economic stimulus.