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One-month risk reversals (EUR1MRR), a gauge of calls to puts on EUR/USD, fell to six-month lows on March 17, as investors rushed to protect themselves from a deeper drop in the single currency. 

Risk reversals represent investor expectations for currency’s directions and are used to hedge against expected moves. 

The gauge fell to -0.625 on Thursday to hit the lowest level since Sept. 2, having topped out 2.6 on March 9.

The decline from 2.6 to -0.625 indicates the options market has turned bearish on the euro. A negative number indicates greater demand for put options, a derivative contract, which gives investors a right but not the obligation to sell the underlying at an agreed price on or before a particular date. On the other hand, a positive figure indicates the demand for calls is higher than that for puts. 

While the put bias is strongest in six months, the EUR/USD pair is currently trading near 1.1010, having hit a low of 1.0955 on Tuesday. That was the lowest level since Feb. 28. The pair topped out near 1.15 earlier this month.