Goldman Sachs recommends shorting USD/JPY to hedge against a potential AI-driven stock market downturn. Analyzing the 20 largest events since 2000 where both equities and bond yields declined simultaneously, the bank found that the Japanese yen consistently acts as a defensive currency. Goldman Sachs believes that a sharp AI sell-off could trigger a drop in U.S. Treasury yields and reignite safe-haven demand for the yen.