Japan Retail Credit Trading Doubles to 123 Trillion Yen on AI Surge

Japanese retail leverage hits record 123 trillion yen, doubling in six months as AI stocks drive 83% credit ratio. Volatility risks loom despite recent positive yields.

Woofun AI data shows that Japanese individual investors' credit trading volume reached 123 trillion yen in July, doubling from the start of the year and setting a record high since 2016. The credit trading ratio climbed to 83% of total retail volume, driven primarily by AI-themed equities. Kioxia emerged as a top target, with a credit purchase balance of 13.23 million shares as of August 7. While floating yields turned positive in June before slipping to an 8.4% loss by late July—still outperforming the decade average of -10.2%—analysts warn that heightened leverage amplifies margin call risks if AI stocks correct.