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SocGen issue new FX options trade...........>

OPTIONS
OPTIONS: SocGen issue new FX options trade recommendation, recommending getting
long FX volatility via five-week EUR/USD straddles.
- They see an uptick in FX volatility across August on seasonality and
historical trends, citing numerous uncertainties ahead, including a possible 2nd
wave of COVID-19, the unknown shape of the global recovery, Brexit, Sino-US
trade tensions and the upcoming US elections.
- Given their view on volatility is relatively short-term, they recommend
expressing the view via vanilla options rather than volatiliy derivatives.
- SocGen add that USD weakness should go "hand in hand" with more FX volatility.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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