- Swings in Equity and Treasury markets have eased this year
- Gold implied volatility and skew have been in narrow range
Options markets that have been placid for the first half of 2024 are showing little sign early Monday of being roiled by the failed assassination attempt on former President Donald Trump, with 10-year Treasury volatility edging higher and VIX futures lower, while gold and the dollar were little changed.
The backdrop is one of relatively low volatility in not just the S&P 500 Index but traditional havens such as the greenback, gold and Treasuries. Stocks have been churning steadily higher on the back of megacap technology firms, with almost 350 days without a single-day drop of 2% in the S&P 500. That’s made hedging less attractive as puts expire worthless month after month.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.