Shift in risk sentiment shores up Australian options market

"Strong growth" is most obvious in the Australian dollar/New Zealand dollar cross, said Ross Beaney, executive manager in global FX at the Commonwealth Bank in Sydney, "no doubt in line with the rapid rise in the New Zealand dollar itself". But the bank also reports good growth in options in both Aussie/US dollar and NZD/US dollar, and in Aussie/yen flows.

"With large upward moves in Aussie/US dollar and NZD/US dollar spot rates, the natural bias implied by options risk-reversal premiums has