Yen Strengthens Amid High Implied Volatility -- Market Talk

Dow Jones10-29

0227 GMT - The yen strengthens against other G-10 and Asian currencies in the morning session amid high implied volatility. "I would be careful about chasing USD/JPY much higher in the near-term because of elevated implied volatility across markets," RBC Capital Markets' Alvin T. Tan says in an email. The VIX Index closed almost at 20 and one-month EUR/USD implied volatility is above 8, the head of Asia FX strategy says. "Such elevated implied volatility should help limit the yen's fundamental carry disadvantage," Tan adds. The VIX Index is also known as the fear gauge. USD/JPY falls 0.3% to 152.92; AUD/JPY is down 0.2% at 100.69. (ronnie.harui@wsj.com)

 

(END) Dow Jones Newswires

October 28, 2024 22:27 ET (02:27 GMT)

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