Monex May 2022 - FX Forecasts

While cross-asset volatility has been relatively high over the past month, a large proportion of this has been driven by fluctuations in bond markets, where concerns over global growth and inflation conditions are most visible. At the end of April, the ICE Bank of America MOVE index, which measures the implied volatility in bond markets for the next month, climbed close to the peak seen in early March after the onset of war in Ukraine.