Lazard Japanese Equity ETF (NASDAQ:JPY) Short Interest Plummets 96.5% in December
Lazard Japanese Equity ETF (NASDAQ:JPY) saw a 96.5% drop in short interest to 1,009 shares as of Dec 15, reflecting shifting investor sentiment and low cover.
Page views: 2
Lazard Japanese Equity ETF (NASDAQ:JPY) experienced a dramatic contraction in short interest during December, underscoring a notable shift in investor behavior toward the Japan-focused fund. As of December 15, short interest totaled just 1,009 shares — a 96.5% decline from the November 30 figure of 28,599 shares.
Measured against the ETF’s average daily trading volume of 6,103 shares, the current short-interest level implies an extremely low days-to-cover ratio of roughly 0.17 trading days. In practical terms, the tiny short position relative to normal volume means it would take well under a single trading day, on average, for short sellers to cover their positions — a sign of high liquidity and limited short pressure.
Why this matters: short interest is one gauge of bearish sentiment and potential vulnerability to short squeezes. When short interest collapses as it has for NASDAQ:JPY, it can signal that traders are stepping away from bearish bets, possibly due to shifting expectations for Japanese equities, reduced perceived downside, or structural changes in the ETF’s investor base.
Interpreting the drop requires context. A large percentage decrease from a relatively small absolute position can reflect either active covering by a handful of traders or the unwinding of a previously concentrated short. It could also be driven by changes in market-making activity or ETF share creation/redemption dynamics specific to Lazard’s product. Investors monitoring the ETF should watch subsequent short-interest reports, trading volume trends, and any fund flow disclosures to understand whether the decline represents a durable trend.
For those tracking NASDAQ:JPY, the extreme reduction in short interest reduces the likelihood of a large short-driven rebound but also suggests fewer contrarian bearish signals for timing entries. As always, investors should combine short-interest data with broader analysis of Japanese equity fundamentals, macroeconomic indicators, and portfolio objectives.
In summary, the Lazard Japanese Equity ETF’s near-total drop in short interest — down to 1,009 shares as of Dec 15 — is a clear market signal worth noting. While it highlights low short exposure and strong liquidity relative to average volume, the drivers behind the move deserve further monitoring to assess implications for future price action.
Published on: December 27, 2025, 8:05 am
