diff --git a/.github/workflows/main.yml b/.github/workflows/main.yml
index 5007e83aa..3b988b0c1 100644
--- a/.github/workflows/main.yml
+++ b/.github/workflows/main.yml
@@ -144,6 +144,9 @@ jobs:
       - name: 🧪 Run tests
         shell: bash
         run: |
+          # # temporarily using dev build because of https://github.com/babashka/sci/issues/1011
+          # bash <(curl https://raw.githubusercontent.com/babashka/babashka/master/install)  --dev-build --dir /tmp
+          # /tmp/bb test:bb
           bb test:bb
 
   static-build:
diff --git a/deps.edn b/deps.edn
index e11696341..b02b1757f 100644
--- a/deps.edn
+++ b/deps.edn
@@ -7,7 +7,7 @@
         weavejester/dependency {:mvn/version "0.2.1"}
         com.nextjournal/beholder {:mvn/version "1.0.3"}
         org.flatland/ordered {:mvn/version "1.15.12"}
-        io.github.nextjournal/markdown {:mvn/version "0.7.189"}
+        io.github.nextjournal/markdown {:mvn/version "0.7.222"}
         babashka/process {:mvn/version "0.4.16"}
         io.github.nextjournal/dejavu {:git/sha "7276cd9cec1bad001d595b52cee9e83a60d43bf0"}
         io.github.babashka/sci.nrepl {:mvn/version "0.0.2"}
diff --git a/src/nextjournal/clerk/parser.cljc b/src/nextjournal/clerk/parser.cljc
index bdf337f53..750615d05 100644
--- a/src/nextjournal/clerk/parser.cljc
+++ b/src/nextjournal/clerk/parser.cljc
@@ -93,7 +93,8 @@
     :nextjournal.clerk/page-size
     :nextjournal.clerk/render-evaluator
     :nextjournal.clerk/visibility
-    :nextjournal.clerk/width})
+    :nextjournal.clerk/width
+    :nextjournal.clerk/markdown})
 
 (defn settings-marker? [form]
   (boolean (and (map? form)
@@ -435,7 +436,6 @@
   ([{:as opts :keys [skip-doc?]} initial-state s]
    (binding [*ns* (:ns initial-state *ns*)]
      (loop [{:as state :keys [nodes blocks block-settings add-comment-on-line? add-block-id]}
-
             (assoc initial-state
                    :nodes (:children (try (p/parse-string-all s)
                                           (catch Exception e
@@ -467,6 +467,7 @@
                                                              {:nextjournal.clerk/visibility {:code :show :result :show}}
                                                              (parse-global-block-settings form)))
                                              (parse-global-block-settings form))
+                        md-settings (:nextjournal.clerk/markdown next-block-settings)
                         code-block {:type :code
                                     :settings (merge-settings next-block-settings (parse-local-block-settings form))
                                     :text nstring
@@ -478,6 +479,7 @@
                                 (assoc :add-comment-on-line? true)
                                 (update :nodes rest)
                                 (assoc :block-settings next-block-settings)
+                                (assoc-in [:md-context :opts] md-settings)
                                 (update :blocks conj (add-block-id code-block)))
                       (not (contains? state :ns))
                       (assoc :ns *ns*)))
diff --git a/test/nextjournal/clerk/parser_test.clj b/test/nextjournal/clerk/parser_test.clj
index d7a5a2d9b..a69e8ddda 100644
--- a/test/nextjournal/clerk/parser_test.clj
+++ b/test/nextjournal/clerk/parser_test.clj
@@ -46,7 +46,27 @@ line\""}]
   (testing "reading a bad block shows block and file info in raised exception"
     (is (thrown-match? clojure.lang.ExceptionInfo
                        {:file string?}
-                       (parser/parse-clojure-string {:doc? true :file "foo.clj"} "##boom")))))
+                       (parser/parse-clojure-string {:doc? true :file "foo.clj"} "##boom"))))
+  (testing "markdown settings"
+    (let [parsed (parser/parse-clojure-string "(ns scratch
+  {:nextjournal.clerk/markdown {:disable-inline-formulas true}}
+  (:require [nextjournal.clerk :as clerk]))
+
+;; $1 + $2 = $3
+
+{:nextjournal.clerk/markdown {:disable-inline-formulas false}}
+
+;; $1 + $2 = $3
+
+{:nextjournal.clerk/markdown {:disable-inline-formulas true}}
+
+;; $1 + $2 = $3")
+          blocks (take-nth 2 (rest (:blocks parsed)))
+          contents (map #(-> % :doc :content first :content) blocks)]
+      (is (match? '([{:type :text, :text "$1 + $2 = $3"}]
+                    [{:type :formula, :text "1 + "} {:type :text, :text "2 = $3"}]
+                    [{:type :text, :text "$1 + $2 = $3"}])
+                  contents)))))
 
 (deftest parse-inline-comments
   (is (match? {:blocks [{:doc {:content [{:content [{:text "text before"}]}]}}