Most of this turnover is likely to happen early in tomorrow’s NY session, when institutional asset managers rebalance after big moves this month. The market gossip has been that USD/JPY and AUD/USD will be the big movers, with selling expected to be heavy in both. No doubt that’s why AUD/JPY has been heavy this week with speculators getting short in anticipation of these flows. If they don’t eventuate, it could be a nasty sell-rumour-buy-fact play!
