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Sterling steadies after dropping on Middle East escalation

Sterling steadies after dropping on Middle East escalation MidEast escalation pressures pound against safe-haven dollar Data shows UK pay settlements at 2-year low in 3-months to Aug BoE speeches, services and construction surveys eyed By Medha Singh Oct 2 (Reuters) - The British pound steadied on Wednesday, a day after it fell sharply against the dollar as the growing conflict in the Middle East spurred demand for safe haven assets.
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FX options wrap - Fear gauges swing toward USD gains

BUZZ-FX options wrap - Fear gauges swing toward USD gains FX volatility measures are trading higher amid the latest USD recovery and remain alert for additional gains. Implied volatility was already higher to recognise the increased realised volatility risk from Friday's impending U.S. jobs data , with Tuesday's USD gains adding to nerves and prompting additional demand.
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Sterling eases against strong dollar as UK factory activity dips

Sterling eases against strong dollar as UK factory activity dips Oct 1 (Reuters) - Sterling dipped against a firming dollar on Tuesday as survey data confirmed a slowdown in factory activity in September, but the British currency was still in sight of recent highs. The pound GBP=D3 was down 0.4% at $1.33280 a day after closing out its strongest quarter in two years alongside a broader improvement in risk appetite.
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FX fear gauges show a greater risk of EUR/USD losses

BUZZ-COMMENT-FX fear gauges show a greater risk of EUR/USD losses Oct 1 (Reuters) - EUR/USD has been pinned to the 1.11's since trading at a new 13-month high above 1.1200 in late August, but the directional FX risk premium in FX option markets shows a greater risk of EUR/USD setbacks than of extended gains. Risk reversals are options that benefit from FX volatility in a particular direction and will consequently demand a volatility risk premium for related strikes.
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FX options wrap: Volatility gains, value, EUR call, US election

REFILE-BUZZ-FX options wrap: Volatility gains, value, EUR call, US election Adds chart Sub 1-month expiry FX option implied volatility has reached new recent highs to reflect the impending FX risk from Fed speakers and U.S. data, which culminates with Friday's Non-Farm Payrolls (NFP) report. Implied volatility setbacks are likely to remain limited ahead of the NFP, with benchmark 1-month options soon to reflect the perceived U.S.
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Yen thrills and oil spills in Q3's market rollercoaster

GRAPHIC-Yen thrills and oil spills in Q3's market rollercoaster Q3 dominated by surges in Japanese yen, Chinese stocks Oil falls 17%, central banks cut rates U.S. election expected to bring more volatility Gold thrives on heightened uncertainty By Marc Jones LONDON, Sept 30 (Reuters) - What a wild quarter for the markets! The yen's strongest run since the 2008 global crash, central banks swivelling at speed, oil diving, gold shining and China spraying economic stimulus.
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Sterling holds near recent highs on euro, dollar

Sterling holds near recent highs on euro, dollar LONDON, Sept 30 (Reuters) - The pound paused around multi-year highs on the dollar and the euro on Monday, supported by the Bank of England's relative hawkishness, at the start of a week where, barring dramatic surprises, its fortunes will largely depend on moves elsewhere. Sterling was up 0.16% on the dollar at $1.3394, sitting just shy of a two-and-a-half year high hit the previous week.
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Socgen like topside options to catch a EUR/GBP bounce

RPT-BUZZ-COMMENT-Socgen like topside options to catch a EUR/GBP bounce Repeats with no changes Sept 27 (Reuters) - An FX option note from Societe Generale highlights the potential for EUR/GBP to bounce with relative rates and suggests taking advantage of low option prices to benefit. EUR/GBP has lost 3.5% since early August highs above 0.8600, which is consistent with the widening GBP-EUR rate differential.
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FX options wrap - JPY reversal, NFP risk, EUR struggle, GBP put

BUZZ-FX options wrap - JPY reversal, NFP risk, EUR struggle, GBP put The JPY reversed higher after Sanae Takaichi, a less BoJ-friendly LDP leadership and future PM contender, lost the election to Shigeru Ishiba, who is now set to become Japan's next Prime Minister. USD/JPY and its implied volatility fell on the JPY relief rally as topside hedges were pared.
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Socgen like topside options to catch a EUR/GBP bounce

BUZZ-COMMENT-Socgen like topside options to catch a EUR/GBP bounce Sept 27 (Reuters) - An FX option note from Societe Generale highlights the potential for EUR/GBP to bounce with relative rates and suggests taking advantage of low option prices to benefit. EUR/GBP has lost 3.5% since early August highs above 0.8600, which is consistent with the widening GBP-EUR rate differential.
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Larger FX option strike expiries for the week ahead

BUZZ-COMMENT-Larger FX option strike expiries for the week ahead Sept 27 (Reuters) - The cash hedging of soon-to-expire FX option strikes can have a magnetic effect on FX price action, adding to nearby support/resistance, and there are plenty on Friday and for the week ahead. The biggest EUR/USD strikes are on Monday at 1.1200 on 1.2 billion euros, Tuesday at 1.1080-85 on 1.6 billion euros and 1.1100 on 1.4 billion euros and Wednesday at 1.1025 on 2.2 billion euros, 1.1100 on 1.4 billion euros,
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Sterling slides versus dollar, steady against euro

Sterling slides versus dollar, steady against euro By Linda Pasquini Sept 27 (Reuters) - Sterling edged lower on Friday, but still hovered close to a two-and-a-half-year peak against the dollar, as increasing risk appetite following China's stimulus plan and monetary policy divergence between the Bank of England and other major central banks provided some support.
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FX options wrap - EUR topside, U.S. PCE risk, LDP JPY warning

BUZZ-FX options wrap - EUR topside, U.S. PCE risk, LDP JPY warning Sept 26 (Reuters) - There was no significant change to option implied volatility on Thursday, which remains just above levels seen at the start of the week. Overnight CHF-related implied volatility highlighted the uncertainty surrounding Thursday's SNB policy announcement , but a lesser 25bps cut helped to limit the FX reaction.
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Sterling rises versus dollar and euro on strong risk appetite

Sterling rises versus dollar and euro on strong risk appetite By Stefano Rebaudo Sept 26 (Reuters) - Sterling rose on Thursday to within striking distance of its two-and-a-half-year peak against the dollar after China's stimulus plan boosted investors' risk appetite. The pound usually appreciates when investors go for risky assets such as equities, which jumped on Thursday.
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FX options wrap - USD put, EUR value, GBP cap, JPY fear, SNB

BUZZ-FX options wrap - USD put, EUR value, GBP cap, JPY fear, SNB A reluctance to build any significant short USD positions via USD put options could be highlighting a lack of conviction about deeper USD losses. EUR/USD is a case in point - testing above late August highs at 1.1201, but related implied volatility is only marginally higher and with limited demand or additional premium for topside strikes .
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Sterling slips against dollar as focus turns to UK budget

Sterling slips against dollar as focus turns to UK budget By Linda Pasquini LONDON, Sept 25 (Reuters) - The pound slipped against the dollar on Wednesday, retreating from a two-and-a-half-year peak a day earlier, as investors turn their focus to next month's British budget and the Bank of England's interest rate decision due eight days afterwards.
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Sterling hits new March 2022 high as dollar flags

Sterling hits new March 2022 high as dollar flags LONDON, Sept 24 (Reuters) - The pound hit its highest against the dollar in two-and-a-half years on Tuesday, after U.S. data showed a deterioration in consumer confidence and as the Bank of England looks likely to cut interest rates more slowly than the Federal Reserve. Adding to sterling's pep was China's central bank unveiling its biggest stimulus since the pandemic earlier on Tuesday to prop up the economy.
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FX options wrap - Risk, EUR 1.10, GBP barrier, U.S. Election

BUZZ-FX options wrap - Risk, EUR 1.10, GBP barrier, U.S. Election FX option implied volatility is mostly heavy, especially with the latest China stimulus package supporting risk. The U.S. election is now only six weeks away, but dealers point out a lack of option end-user demand for FX volatility protection when compared with the same period before the 2020 election.
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Explainer-The critical importance of FX option strike expiries

BUZZ-Explainer-The critical importance of FX option strike expiries Sept 24 (Reuters) - While it is not an exact science, larger impending FX option strikes can often have an effect on the FX spot market as their expiries draw closer. Here's why. While there are many types of traders and investors influencing the FX markets, perhaps the most important when it comes to options are the many institutions that supply and manage liquidity.
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Euro slumps, dollar index edges higher after PMI data

FOREX-Euro slumps, dollar index edges higher after PMI data Euro slides after PMIs Traders boost ECB rate cut chances Pound hits highest vs dollar since March 2022 Updated at 2:18 a.m. ET/1818 GMT By Chuck Mikolajczak NEW YORK, Sept 23 (Reuters) - The euro dropped against the dollar on Monday as business activity reports for the euro zone economy disappointed, briefly extending declines after U.S.
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