-
Volatility-Starved Yen Traders Feel Chills as Winter Comes Early
Traders searching for potential triggers for a pickup in dollar-yen volatility may have to wait until next year. The currency pair’s implied volatility has been slipping across the curve amid growing optimism about a partial U.S.-China trade accord. With odds of a no-deal Brexit evaporating, a gauge of the dollar-yen’s expected swings over three months has hit its lowest level since July and looks set for a new 2019-low. As event risks fall by the wayside, options are indicating a 75% probability that the yen will stay between 105.39 and 110.99 per dollar for the rest of the year, based on a spot reference of ... (full story)