• FX option implied volatility reflects FX realised volatility risk premium

• It's surged from 2+year lows in mid March to highs since Jan across G10 FX

• EUR/USD 1-month implied vol now 2.0 above mid March lows - trades 6.9

• Even 1-year expiry has rallied to 6.9 vs its own 2+year lows around 6.1

• Implied vol premium for EUR puts over calls has also surged

• 1-month risk reversals highest downside vs upside vol premium in a year

• 1.0600 contains large option barriers, break risks deeper declines

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