AUD/USD risk reversals hit 5-month high
|- Risk reversals indicate falling demand for AUD bearish bets.
The one-month 25 delta risk reversals rose to -0.425 today; the highest level since July 27. The steady rise from the November low of -0.80 indicates falling demand for the AUD put options (bearish bets).
It adds credence to the recovery in the 10Y AU-US yield spread from the Nov. 30 low of 10 basis points to 20 basis points. However, the AUD/USD still trades below the 200-day MA of 0.7692.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.