22 September 2025, Sydney, Australia – VT Markets, a leading multi-asset broker, is celebrating the success of its ongoing partnership with Newcastle United , and marking the start of the new football season with the release of its latest brand film.

The film highlights the evolution of VT Markets’ partnership with Newcastle United as it enters its second year, showcasing the shared values that are essential qualities for success both on the pitch and in the world of trading.

Titled ‘Together, Into Tomorrow‘, the brand film reinforces the strength of the VT Markets and Newcastle United partnership, showcasing how these core values fuel success in both football and financial markets. This collaboration has already expanded both brands’ reach, increased engagement, and connected with new audiences, making a lasting impact.

Dandelyn Koh, Global Brand & PR Lead at VT Markets, expressed, “As we celebrate entering the second year of our partnership with Newcastle United, this new brand film perfectly encapsulates the core values that drive both our brands: speed, precision, and strategy. At VT Markets, we focus on empowering our clients with resources and knowledge to make confident, well-informed decisions in the fast-moving world of trading – much like NUFC players do on the field. This milestone is just the beginning, and we look forward to what the future holds for this powerful partnership.”

The film’s narrative draws parallels between football and trading, illustrating how speed strategic thinking are essential in both realms. VT Markets’ insights and resources, much like a player’s intuition, empower traders to stay ahead in the fast-paced, ever-changing market environment.

As the partnership moves into its second year, VT Markets remains committed to empowering its clients with the tools, knowledge, and insights necessary for success in the dynamic world of trading.

The full brand film – ‘Together, Into Tomorrow‘ can be accessed here.

For media enquiries and sponsorship opportunities, please email [email protected] or contact:

Dandelyn Koh 

Global Brand & PR Lead

[email protected]  

Brenda Wong 

Assistant Manager, Global PR & Communications

[email protected] 

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FX option expiries for September 22 show no significant events, indicating a calm start to the week. The economic calendar appears light, with attention turning to the Federal Reserve’s actions from last week.

Market Focus

Traders are curious if economic data will match their expectations. The dollar is stable, with EUR/USD facing resistance at 1.1900. USD/JPY is approaching its 200-day moving average at 148.56, making it a pair to watch in the coming days. With few economic updates on the calendar, the focus remains on the impact of last week’s Federal Reserve meeting. The Fed decided to keep rates steady while hinting at a “higher for longer” approach, which has strengthened the dollar. This puts pressure on future economic data to challenge the current market outlook. The Fed’s firm stance is backed by recent data, including the August 2025 Consumer Price Index at 3.4%, which is slightly above expectations and halts the disinflationary trend. The labor market also remains tight, with the last Non-Farm Payrolls report showing a gain of 210,000 jobs. These factors offer little reason for the Fed to consider rate cuts soon. For EUR/USD, the failure to break through the 1.1900 level is a significant technical signal. We see this as an opportunity to bet on further dollar strength, perhaps by selling call spreads with strike prices above that level. The European Central Bank’s cautious stance on future rate hikes creates a clear policy difference that could negatively impact this pair.

USD/JPY Analysis

We are closely watching USD/JPY as it nears its 200-day moving average of 148.56. In 2022 and 2023, the interest rate gap between the U.S. and the dovish Bank of Japan pushed the pair higher, despite intervention threats. We believe this trend is still in play, making call options a smart choice for capturing potential gains. In this data-driven environment, we can expect implied volatility to react to major economic reports, like upcoming inflation and jobs data. This offers opportunities to trade volatility, such as selling premium after data is released and the market digests the information. Low-cost option strategies that benefit from a rise in the dollar may work particularly well in the next few weeks. Create your live VT Markets account and start trading now.

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Goldman Sachs has raised its year-end target for the S&P 500 in 2025 from 6600 to 6800. This change reflects their updated outlook on the market. The new target of 6800 indicates a positive growth expectation. Currently, there are no additional details or updates available.

Revised S&P 500 Target

The year-end target for the S&P 500 is now 6800. As of September 22, 2025, the index is trading around 6720, showing that the strong market momentum from this summer is still in effect. This update supports the idea that the overall market trend remains positive for now. With the VIX at multi-year lows near 13, implied volatility is low, making it appealing to sell options. One strategy to consider is selling out-of-the-money put spreads on the SPX index with October expirations to earn income from the market’s steady rise. This strategy benefits from both the upward trend and the calm market conditions. Recent economic data strengthens this optimistic outlook. The August CPI report, released last week, shows inflation cooling to a 2.8% annual rate. This suggests that the Federal Reserve is likely to pause rate hikes for the rest of the year, making it easier to hold riskier assets in the near future.

Protecting Against Volatility

Since much of the gain may have already been achieved, utilizing defined-risk call spreads is a smarter way to prepare for further growth. We are considering positions like the December 6750/6850 call spread. This allows us to benefit from movement toward the new target while keeping initial costs low. Historically, the fourth quarter is strong for stocks, and we experienced a significant year-end rally in 2023 under similar easing inflation conditions. However, the very low VIX indicates a potentially high level of market complacency. While we anticipate the trend to continue, we need to prepare for possible increases in volatility. To guard against an abrupt shift in market sentiment, we should invest a small portion of our capital in affordable hedges. Buying VIX calls for November expiration or far out-of-the-money SPY puts can provide low-cost protection for our portfolio. This allows us to remain optimistic while being safeguarded against an unexpected market downturn. Create your live VT Markets account and start trading now.

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The yen fell as Japan’s leadership election got closer, pushing USD/JPY above 148.35. In other major foreign exchange markets, changes were minimal. RBA Governor Bullock spoke to parliament, indicating that inflation appears under control and the job market is strong. As a result, AUD/USD stayed mostly unchanged.

China’s Monetary Policy Decision

China’s central bank kept its benchmark lending rates steady for the fourth month in a row. The one-year loan prime rate remains at 3.0%, while the five-year rate is at 3.5%. This decision aligns with a desire to avoid new stimulus after a recent rise in the stock market. The one-year LPR is important for most loans, and the five-year rate impacts mortgage costs. Gold prices held steady, just below US$3,700. Asian-Pacific stock markets performed differently: – Japan’s Nikkei 225 increased by 1.5%. – Hong Kong’s Hang Seng decreased by 1.1%. – Shanghai Composite fell by 0.22%. – Australia’s S&P/ASX 200 rose by 0.4%.

Market Volatility in Asia

With the yen slipping past 148.35 against the dollar, uncertainty about Japan’s leadership election is causing market volatility. This situation is ideal for derivative traders to explore options strategies like straddles or strangles on USD/JPY, benefiting from large price swings in either direction. This scenario mirrors earlier periods in 2023 and 2024 when the Bank of Japan was cautious about currency intervention. The People’s Bank of China is keeping its benchmark rates unchanged while the U.S. Federal Reserve just cut its rate last week. This difference in policies is crucial. With the Fed funds rate now below 4%, compared to China’s stable rates, it may put a cap on how much the US dollar can strengthen against the yuan. Traders might see this as a chance to sell call options on USD/CNH, predicting that the currency pair will hit a ceiling in the coming weeks. The Reserve Bank of Australia seems more hawkish than other central banks, indicating a strong local economy. Australia’s unemployment rate has stayed steady around 4.1% in August, and inflation remains above the RBA’s target range, providing solid support for the Aussie dollar. This backdrop makes long AUD call options appealing, especially against currencies with dovish central banks. Gold is stabilizing just below the US$3,700 mark, which is a historically high price. This level reflects the overall market trend of declining U.S. interest rates through 2025 and ongoing geopolitical tensions. Traders who believe gold will stay in this high range might consider selling options through an iron condor on gold futures. Asian equity markets are showing clear differences: Japan’s Nikkei 225 is rising, while Hong Kong’s Hang Seng index is declining. The weaker yen is lifting the Nikkei as it boosts the earnings of Japan’s big exporters—a common trend for this market. This disparity offers a straightforward trading opportunity, suggesting that traders can use futures to go long on the Nikkei 225 while shorting the Hang Seng Index to benefit from these opposing movements. Create your live VT Markets account and start trading now.

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Reserve Bank of Australia Governor Bullock highlighted a data-driven approach in her recent comments. She noted that while the job market is tight and employment growth has slowed, unemployment rates remain steady.

Economic Data and Market Reaction

Employment conditions are in line with expectations and are close to full employment, though they are a bit tighter. Bullock is more confident that inflation will stay within the target range but mentioned that recent economic data from China has been weak. Consumer spending is showing signs of growth, but there is a risk it may not meet expectations. The market’s response has been minimal, with the Australian dollar staying relatively stable. The Reserve Bank is currently taking a cautious stance, suggesting that the Australian dollar will likely remain in a narrow range for now. The real changes are expected to come from unexpected economic data, rather than from speeches by central bank officials. This quiet market is a good opportunity to invest in volatility, as it could shift sharply with the next major report. Inflation remains a concern; the Q2 2025 CPI was reported at 3.1%, slightly above the RBA’s target range. Meanwhile, the August 2025 jobs data showed unemployment steady at 4.1%, giving the RBA no reason to hurry in making decisions. This reinforces their wait-and-see strategy until one of these key indicators changes.

Impact of the Chinese Economy

The weak Chinese economy poses a significant challenge for the Aussie dollar. China’s industrial production for August 2025 fell short of expectations, growing by only 3.5%. This directly affects demand for our major exports. Thus, external pressures will likely prevent any large increases in the AUD, even if domestic factors are strong. While there is hope for increased consumption, the risk of it falling short is notable. History shows that consumer spending declined after the series of rate hikes in 2023 and 2024, so caution is advised. A smart move could be to buy AUD put options ahead of the upcoming retail sales data to safeguard against any negative surprises. Given these mixed signals, making a major directional bet is risky. Instead, we should focus on option strategies like buying straddles or strangles before the next quarterly CPI and employment reports. This way, we can profit if the data forces a significant move—either up or down—breaking the AUD out of its current stable state. Create your live VT Markets account and start trading now.

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China’s Ministry of Industry and Information Technology has launched a two-year plan to stabilize growth in the steel sector and tackle overcapacity. The strategy aims for a 4% annual growth in value and sets strict rules on increasing production capabilities. The plan stresses the need to align supply and demand by adjusting output and advancing the industry. It also prioritizes modernization and low-carbon development, mandating the retirement of outdated facilities, such as blast furnaces. By 2025, more than 80% of steel production must comply with ultra-low emissions standards.

Enhancing Supply Control

This initiative enhances supply control, benefiting leading producers and encouraging green investments. While the stricter emissions standards could raise costs temporarily, the emphasis on consolidating operations and controlling capacity is intended to stabilize growth and address overcapacity. China’s new plan marks a significant shift toward stricter supply management in the steel sector. This news is likely to be positive for steel prices, especially after Shanghai rebar futures recently dipped below ¥3,500 per tonne earlier this month. The government’s ban on new production capacity strongly indicates their intention to cut back on production to support the market. As a result, we are preparing for a rise in steel prices by considering long positions in steel rebar and hot-rolled coil futures. The focus on balancing supply and demand should help stabilize prices, reducing risk in the coming weeks. This situation is reminiscent of the price movements seen during the supply-side reforms from 2016 to 2018, which sparked a significant rally.

Outlook For Iron Ore

The outlook for iron ore is more complicated, as production limits could reduce overall demand. However, the shift towards ultra-low emissions will likely boost demand for high-grade ore, increasing the price gap between different grades. We’ve noticed the premium for 65% Fe content ore has risen to over $15 per tonne, making long positions in high-grade futures contracts appealing. The policy favors leading companies, opening opportunities in the equity derivatives market. We should consider purchasing call options on major low-emission producers like Baoshan Iron & Steel, who stand to gain market share from this consolidation. In contrast, smaller, less efficient mills may struggle with rising compliance costs, making them more vulnerable. This announcement follows recent data showing signs of market weakness, making government intervention more probable. The National Bureau of Statistics of China reported that crude steel output for August 2025 was just 85 million tonnes, a slight drop from the previous year. The new plan turns market-driven softness into a structural policy, laying a stronger foundation for a long-term price recovery. Create your live VT Markets account and start trading now.

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KiwiBank predicts that the Reserve Bank of New Zealand will lower interest rates by 50 basis points in October and another 25 basis points in November. This would bring the cash rate down to 2.25% by the end of the year. The forecast is based on the economy’s slow recovery from a previous recession, which is evident in recent weak GDP data. If economic conditions do not improve, further cuts to 2% might be necessary. KiwiBank estimates a 50% chance that more monetary support will be required. The recent GDP numbers show that 10 out of 16 industries are shrinking, which suggests the expected recovery is not happening one year after a severe recession.

Call For Strong Measures

KiwiBank is urging the Reserve Bank to take strong actions to boost growth. This forecast emphasizes the urgent need for the Reserve Bank to make policy changes quickly as economic growth slows. If the current weakness persists, a cash rate drop to 2% could be on the table. With the outlook for more significant rate cuts, we should prepare for a lower interest rate environment in the upcoming weeks. Focus will be on derivatives that benefit from falling rates, such as receiving fixed in Overnight Index Swaps (OIS) that account for the October and November meetings. This perspective is supported by recent data showing the economy contracted by 0.2% in the second quarter of this year, reinforcing the need for decisive action from the RBNZ. A significant drop in the official cash rate will likely drive the New Zealand dollar down. We saw a similar pattern during the 2008-2009 easing cycle, when aggressive rate cuts caused the NZD/USD exchange rate to fall sharply. Traders may want to consider using currency options, such as buying NZD puts, to prepare for a weaker kiwi dollar through the end of the year.

Market Volatility And Future Moves

The shift from a gradual easing approach to rapid rate cuts is likely to increase market volatility. After focusing on inflation for a long time, this shift to prioritize growth is a notable change. This makes long volatility strategies, like buying straddles on short-term interest rate futures, potentially appealing. Looking ahead, the entire New Zealand yield curve is expected to flatten and decrease as the market anticipates the cash rate might reach 2.0%. This suggests we should consider trades that capture this broader movement, such as receiving fixed on two-year interest rate swaps. Create your live VT Markets account and start trading now.

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Berkshire Hathaway has completely sold its shares in BYD, ending a 17-year investment that was very successful in Asia. This full exit follows a gradual reduction of their stake since 2022. BYD acknowledged Berkshire’s support as a long-term partner. According to CNBC’s Warren Buffett Watch, Berkshire Hathaway Energy, the division that owned the shares, reported the investment as worthless by March 31. A representative confirmed that all shares have been sold. BYD’s public relations head thanked Berkshire for its support since 2008. Berkshire started decreasing its BYD shares in 2022. By mid-2024, their ownership had fallen to under 5%. This year’s complete exit signals the end of one of Berkshire’s most successful investments in Asia. With Berkshire Hathaway’s exit from BYD now confirmed, traders dealing in derivatives should expect downward pressure on the stock. This news was anticipated due to the gradual sell-off since 2022, and it removes a vital long-term endorsement for the company. We suggest buying put options that expire in the next 30 to 60 days to take advantage of this renewed negative sentiment. This decision comes as growth in the overall electric vehicle (EV) market slows down, reinforcing a negative outlook. Reports from mid-2025 show that global EV sales growth has dropped to around 15% year-over-year, a sharp decline from the over 25% growth rates seen in 2024. This maturation of the market makes high-valuation stocks like BYD more susceptible to negative influences. The final exit is likely to increase implied volatility in BYD options. We see this as a chance for strategies that profit from price movements, although simply buying puts seems to be the most straightforward approach. Historically, when a notable investor like Berkshire completely divests, it often prompts a market re-evaluation, which can lower a stock’s price for several quarters. We can recall the persistent pressure on Chinese technology stocks between 2021 and 2023 when major international funds began to cut back their investments. That period taught us that such a significant exit is not a brief event but can indicate a longer trend. Therefore, traders might consider longer-dated puts or put debit spreads to manage costs while betting on continued declines. The effects of this exit will likely go beyond BYD, impacting the entire Chinese EV sector and related supply chains. We expect that traders will interpret this event as a signal to short an index of Chinese EV makers or buy puts on competitors like Li Auto and Nio. Berkshire’s move may also reflect broader concerns about geopolitical risks and peak growth in that specific market.

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UBS has updated its USD/JPY predictions, forecasting rates of 143 by the end of 2025 and 140 by the end of 2026. This change is due to political uncertainty in Japan and a cautious approach from the Bank of Japan, along with strong performance in equity markets impacting the yen. Even though another interest rate hike by the Bank of Japan is expected before January 2026, the yen has not benefitted yet from these expectations. Japan’s strong equity market and lower volatility are also affecting the yen’s value.

Factors Influencing Yen Performance

There’s no sign of coordinated efforts, like a new Plaza Accord, to strengthen the yen. UBS expects the USD/JPY pair to stay mostly within the 140–150 range rather than falling below it. In the U.S., the dollar is struggling due to a weakening labor market, which is affecting short-term Treasury yields. This economic situation puts pressure on the dollar. We anticipate the dollar-yen pair settling into the 140-150 range for the foreseeable future. While the yen faces challenges from political uncertainty in Japan and a cautious Bank of Japan, the growing weakness of the U.S. dollar may balance things out. We do not expect significant movement in either direction in the upcoming weeks. Political instability in Japan is crucial, as recent polls show the current government’s approval rating below 20%. This limits the Bank of Japan’s ability to take decisive action. Additionally, the Nikkei 225 index has performed well, increasing over 20% so far in 2025, which reduces the demand for the yen as a safe haven. This suggests that significant strength in the yen is unlikely for now.

Weakness in the U.S. Labor Market

On the other side, there are clear signs of cooling in the U.S. labor market. For example, the August 2025 non-farm payrolls report indicated only 95,000 new jobs, falling short of expectations and marking three months of weak job growth. This softness is putting downward pressure on short-term Treasury yields, limiting any potential gains for the dollar. Given the outlook of low volatility and a defined range, selling options seems like a good strategy. Traders might want to consider an iron condor strategy with strikes set outside the 140-150 channel to collect premiums from the expected sideways movement. This strategy benefits from the passage of time and the pair’s lack of significant movement. Historically, there is little evidence of coordinated intervention to strengthen the yen, like the Plaza Accord in 1985. Therefore, the 140 level should serve as a strong support for the pair. Any upward movement toward the 150 level is likely to encounter resistance due to the weakening U.S. economic outlook. Create your live VT Markets account and start trading now.

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The People’s Bank of China (PBOC) has launched a 14-day reverse repo operation, injecting 300 billion yuan into the economy. This method uses fixed amounts, rate bidding, and scale management to meet liquidity needs.

What is a 14-Day Reverse Repo?

A 14-day reverse repo is a short-term loan to banks, with government securities as collateral, helping to boost liquidity in the financial system. “Fixed volume” means the PBOC set the total amount of money beforehand. Interest-rate bidding allows banks to submit proposals for their desired interest rates. With multiple-price allocation, funds are distributed at different rates based on the bids received. Essentially, the PBOC is lending a specific amount of money to banks for 14 days, with varying interest rates depending on the bids, to support short-term liquidity in the market. The injection of 300 billion yuan signals that the central bank is ensuring there’s plenty of cash available. With the Golden Week holiday approaching, this is a typical action to avoid cash shortages as businesses and individuals prepare for increased withdrawals. This move should be seen as a short-term strategy to keep stability, rather than a fundamental change in monetary policy. For interest rate traders, this extra liquidity may lower short-term rates, like the overnight SHIBOR, which increased to about 1.8% last week. This situation is favorable for betting on a flatter yield curve in the short term. Traders can use interest rate swaps to predict that short-term funding costs will decrease over the next two weeks.

Effects on Currency and Stock Markets

In the currency market, increasing the yuan supply may create slight downward pressure on the currency. The USD/CNY exchange rate stands around 7.35, and this move might push it to higher levels. It’s wise to consider buying short-term options to guard against potential volatility spikes, as the central bank likely wants to avoid a sudden, uncontrolled drop in the yuan. This action also benefits the stock market, boosting investor sentiment for equity derivatives. The CSI 300 index has been trading within a narrow range lately, and this liquidity injection could provide a slight lift as the holiday approaches. It might present opportunities for short-term bullish strategies on stock index futures. Reflecting on similar operations around major holidays in 2023 and 2024, the market impacts were often brief and aimed at stabilizing money markets. Any upward movements in equities typically did not last long. While this operation may offer some support for commodity prices by alleviating concerns of a slowdown, we view it mainly as a technical step to keep the financial system functioning smoothly. Create your live VT Markets account and start trading now.

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