Home GBP/USD: value of puts (bearish bets) surges to highest since September 2016

GBP/USD: value of puts (bearish bets) surges to highest since September 2016

Published date: 16 Nov. 2018 | 03:28

The GBP/USD one-month 25 delta risk reversals (GBP1MRR) are currently trading at -2.76 in favor of put options. That level was last seen in Sept. 9, 2016.

The risk reversals stood at -2.72 yesterday and -0.82 on Nov. 9. The sharp decline indicates the demand for the put options has risen sharply in the last few days, meaning the investors are likely expecting a deeper drop in the British currency.

At press time, the GBP/USD is trading at 1.2788, having clocked a low of 1.2723 yesterday.

GBP1MRR

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