MNI BRIEF: Trump Likely To Allow Powell To Serve Term - Moore

MNI: ECB CUTS KEY DEPOSIT RATE BY 25 BP TO 3.0%

MNI BRIEF: China To Keep Stabilising Housing Market - CEWC

MNI BRIEF: China Focus On Boosting Consumption In 2025

MNI BRIEF: China To Cut Rates, Boost Borrowing-Work Conference

MNI China Daily Summary: Thursday, December 12

MNI: US JOBLESS CLAIMS +17K TO 242K IN DEC 07 WK

MNI: US NOV FINAL DEMAND PPI +0.4%, EX FOOD, ENERGY +0.2%

MNI: CANADIAN OCT BUILDING PERMITS -3.1% MOM

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

OPTIONS: FX Volumes Skewed To JPY Calls, AUD Puts

OPTIONS
BulletMarketsForeign Exchange Bullets

With yen the weakest performer in the G10 FX space (off 0.80%%), it is not surprising to see it dominating the FX option space. USD/JPY FX options accounting for about 38% of total volumes in the first part of Monday trade (per DTCC). 

  • USD/JPY sits at 153.50/55 in latest dealings, not far from session highs (153.88). A break above 154.00 will likely see late July highs at 155.22 targeted.
  • Still, the larger volume contracts have been skewed in favor of JPY. A notional +200mn call on JPY with a 145.5 strike (expiry on Nov 4) has been evident. We have also seen a number of 157.00 strike calls on JPY go through (expiry towards the end of Nov). Likewise for calls on JPY with strikes at 148.90/95 ($50mln notional).
  • In terms of other FX option volumes, we have seen some notable AUD/USD puts at 0.6465 and at 0.6300 go through for notional A$100mln). A EUR/USD put at 1.065 strike (EUR100mln) for expiry on Nov 14 has also gone through. 
169 words

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.

With yen the weakest performer in the G10 FX space (off 0.80%%), it is not surprising to see it dominating the FX option space. USD/JPY FX options accounting for about 38% of total volumes in the first part of Monday trade (per DTCC). 

  • USD/JPY sits at 153.50/55 in latest dealings, not far from session highs (153.88). A break above 154.00 will likely see late July highs at 155.22 targeted.
  • Still, the larger volume contracts have been skewed in favor of JPY. A notional +200mn call on JPY with a 145.5 strike (expiry on Nov 4) has been evident. We have also seen a number of 157.00 strike calls on JPY go through (expiry towards the end of Nov). Likewise for calls on JPY with strikes at 148.90/95 ($50mln notional).
  • In terms of other FX option volumes, we have seen some notable AUD/USD puts at 0.6465 and at 0.6300 go through for notional A$100mln). A EUR/USD put at 1.065 strike (EUR100mln) for expiry on Nov 14 has also gone through.