Brent option skew to the puts is largely unchanged despite the falling futures market.

• Brent front month futures have fallen to the lowest since before the Ukraine war started in February.
• The Dec22 25 delta puts are still trading approximately 4% over 25 delta calls.
• ATM front month implied volatility continues to tick higher and now back over 50% on large price swings. Low liquidity is adding to market volatility with aggregate open interest the lowest since 2015.
  • Brent NOV 22 down -3.6% at 89.51$/bbl
  • WTI OCT 22 down -3.9% at 83.47$/bbl

Source: MNI / Bloomberg