(Corrects volatility level and milestone to Jan from July in
3rd paragraph)
LONDON, Feb 28 (Reuters) - Market gauges of euro-dollar
one-month implied volatility jumped on Friday to their highest
in over a year at 6.6% EUR1MO=FN as the intensifying
coronavirus outbreak fuelled big currency moves and recession
fears.
The Japanese yen, appeared to have regained its safe-haven
status after last week's brief wobble, rising to a 3-1/2-week
high of 108.79 versus the dollar JPY=EBS .
The euro was last up 0.3% at $1.1028 EUR=EBS , a three-week
high. Euro-dollar volatility, which fell to a record low just
last month below 4%, surged to 6.6%, the highest since last
January, having ended last week around 4.8% EUR1MO=FN .
The greenback had strengthened recently but has since handed
back those gains as money markets moved to price three 25
basis-point Fed cuts by mid-year, starting with one later this
month. As recently as a week ago, markets had seen just a 9%
chance of a cut FEDWATCH