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VIX Back From April Peak After BoJ Affirms Dovish Credentials

JGBS

The S&P-JPX JGB VIX Index has pulled back from the levels seen in late April, with the BoJ’s re-affirmation of its dovish stance and support for its current YCC parameters (including a pledge to conduct fixed rate operations on every business day) compressing vol. Note that the April spike higher in the metric didn’t pierce March’s YtD high (which came as the Bank was drawn into action after the top end of its permitted -/+0.25% 10-Year JGB yield trading band was breached).


Fig. 1: S&P-JPX JGB VIX Index

Source: MNI - Market News/Bloomberg

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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