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GBP hedging volumes once again well above...>

OPTIONS
OPTIONS: GBP hedging volumes once again well above average, with GBP/USD and
EUR/GBP options trades countering lower volumes in EUR/USD and USD/JPY.
-GBP upside exposure remains in demand with the notional waged on GBP calls
outweighing puts in GBP/USD and EUR/GBP by 3:1 and 6:1 respectively.
-One of the more interesting trades crossing the DTCC today includes what
appears to be a Gbp302mln 1.3450/1.3700 1w call spread rolling off on Mar20 and,
in EUR/GBP, a three-legged put structure with 0.85/0.82/0.80 strikes equally
weighted for a total notional of E660mln.
-The GBP/USD volatility curve remains highly elevated for near-term tenors, with
the overnight/3m vol premium topping 7.5 percentage points, the highest level
since March of last year.

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