25 Apr 2014
NZD and JPY vols next to switch - Societe Generale
FXStreet (Bali) - Kiwi and yen vols should be the next to switch from lows into higher activity, notes Societe Generale.
Key Quotes
"The expected switch in NZD vols fits well with the macro background since the RBNZ is the first central bank to embrace its tightening cycle."
"Regarding the JPY, the BoJ is arguably one of the central banks which generated the biggest currency volatility, and should continue to do so given the uncertain impact of the consumer tax hike on the inflation path."
Key Quotes
"The expected switch in NZD vols fits well with the macro background since the RBNZ is the first central bank to embrace its tightening cycle."
"Regarding the JPY, the BoJ is arguably one of the central banks which generated the biggest currency volatility, and should continue to do so given the uncertain impact of the consumer tax hike on the inflation path."