Changes back to still on line 2

• Lower spot and risk aversion boosted GBP/USD option premiums last week

• They remain elevated despite a de-escalation of geopolitical risk

• GBP/USD still below 1.25 Monday, seemingly limiting further option setbacks

• Benchmark 1-month expiry implied volatility spiked 6.2 to 7.1 Friday

• Its 6.8 now and was trading post Brexit lows at 5.4 in mid March

• 1-month risk reversal premium for GBP puts over calls 0.35 to 0.7 since Fri

• That's its higjhest downside over upside strike vol premium since July

• Price shows market wary of more spot weakness that would raise option cost

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