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USD/INR one-month 25 delta risk reversals are currently trading at 0.467 in favor of calls – the highest level since Dec. 17.  

The positive number indicates the implied volatility or demand for USD/INR calls (bullish bets) is higher than that for the put options (bearish bets).  

Put simply, investors are adding bets to position for weakness in the Indian National Rupee (INR).    USD/INR is currently trading at 71.16, having hit a 9-day high of 71.48 yesterday.  

The Indo-Pak crisis could escalate, sending INR lower, as the Indian forces have been given a free hand to retaliate Pakistan’s act of war in Indian airspace.