We wrote yesterday about the uptick in demand for AUD calls, coinciding with both the rally in spot as well as China stimulus headlines - the latest of which clarified that more details could come this week, and leadership at the top of the Politburo have been working on the plans.

• The front-end of the AUD vol curve continues to see relief on the moves, with 1m risk reversals holding above -0.5 for the smallest put vol premium over calls since mid-July.
• Today, AUD/JPY vol hedges have again been traded in size - making for one of the busier markets in G10 today - although showing less of a directional bias relative to AUD/USD earlier in the week.
• Similarly, NZD/USD options have seen interest Thursday - skewed toward puts thanks to sizeable trade in 0.6200, 0.5950 and 0.5700 puts - most of which target a mid-October expiry thereby capturing the RBNZ rate decision on October 9th - for which markets remain pinned between pricing for a 25 and 50bps reduction.