Free Trial

Markets Look Happy to Keep Selling JPY Via Crosses While Vols Subdued

EURJPY

To add to the above on EUR/JPY, the pullback and fade in global FX vol has continued apace today, with 6m EUR/JPY implied falling through the November lows ahead of today's London close. Lower vols clearly favour further JPY selling in the crosses - and if latest leg lower is anything to go by, markets should be happy to keep selling JPY against the EUR the longer realised vols remain subdued:


Figure 1: JPY selling persists amid low vol backdrop


Source: MNI/Bloomberg

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.