A mixed session so far for currency.........>

OPTIONS: A mixed session so far for currency options, with volumes slightly

lower for the likes of EUR, CNY and AUD hedging, although activity has held up

in GBP, JPY and EUR/GBP in particular. Implied volatility is also mixed, with

JPY front-end vols retreating as USD/JPY recuperates, while Scandi implied

remains bid as SEK crosses remain acutely volatile. Yesterday, EUR/SEK hit the

best levels since 2009.

- In Asia-Pac vols, front-end of the curve has been supported, with notable

upticks in USD/IDR and USD/PHP pairs. USD/PHP 1m implied vols today hit the best

levels since mid-2013, with call vol in particular surging and driving front-end

riskies beyond 1.5 points for the first time since 2013. Moves all follow the

Philippine banking association suspending both FX and fixed income trading from

today.

- EUR/GBP hedging sits well ahead of average thanks to a series of large calls

crossing in early Euro hours, with 0.88 and 0.87 call strikes drawing interest.

The EUR/GBP risk reversals curve continues to flatten, with front-end contracts

rallying sharply over the past week following the ECB on Thursday.