One-month risk reversals (XAU1MRR) on gold, a gauge of calls to puts, has dropped to the lowest level since May 31, indicating investors are adding bets for weakness in the yellow metal. The gauge currently stands at 0.55, having dropped in a near 90-degree manner from 1.90 over the last seven days. It represents a drop in the demand or the implied volatility (vol) premium for call options (bullish bets) and a rise in demand for put options. That said, the number is still holding in positive territory, meaning vols for calls is still higher than the vol claimed by puts. Gold is currently trading at $1,468 per Oz, ... (full story)