Silver as an investment

Category Archives: Beta

Goldman Discovers Something Odd: Stock Moves Are Increasing Even As Index Moves Are Decreasing

One wouldn’t know it by looking at the moves in equity indexes, but this earnings season has been unusually volatile for stocks, which however has yet to translate into bigger moves at the macro level. That is the bizarre observation made by Goldman’s derivatives strategist John Marshall (whose team grew by one when ex-Deutsche Banker […]

In The Shadows Of Black Monday – “Volatility Isn’t Broken… The Market Is”

Authored by Christopher Cole via Artemis Capital Management, Volatility and the Alchemy of Risk The Ouroboros, a Greek word meaning ‘tail devourer’, is the ancient symbol of a snake consuming its own body in perfect symmetry. The imagery of the Ouroboros evokes the infinite nature of creation from destruction. The sign appears across cultures and […]

JPM Head Quant Warns Of “Catastrophic Losses” For Short Vol Strategies

It has been a while since we heard from JPM’s quant guru, Marko Kolanovic, who following the recent FANG crash and quant rotations and ahead of this Friday’s massive S&P op-ex, has published his latest latter, covering everything from the aforementioned market moves, to the ongoing drastic changes in the market structure, to the prevailing […]

BofA: The “QE Monster” Only Ends When “The Wall Street Bubble” Finally Shocks The Fed

Below we excerpt some of the latest observations from BofA’s Michael Hartnett, who nearly a year ago first penned the “Icarus trade” concept – i.e., the final push in the US stock market to its all time highs –  and who has been expecting a “blow off top” to stocks, before it all comes crashing […]

Will Yesterday’s Market Selloff Turn “Emotional”: Here Are The Key Indicators RBC Is Looking At

Yesterday’s sharp S&P selloff, the largest of 2017, and the first time the market dropped by more than 1% in 110 trading days, may be just the beginning: that is the troubling thesis presented by JPM’s quant Marko Kolanovic, who as we quoted yesterday, warned that “following Friday’s option expiry, the gamma imbalance shifted towards […]

JPM: “Turning Points In Market Trends Are Occurring At The Fastest Pace In History”

Ever get the feeling that the market has become frustratingly fast in responding to new information, with violent swings in either direction coming ever faster even if ultimately the “BTFD” mentality always seems to prevail? Well, it’s a fact.  As JPM reports in a new analysis, citing quantitative and qualitative metrics, markets have become more […]

RBC: “It Is Crazy What Is Going On ‘Under The Hood’ When On The Surface It’s So Optically Calm”

Having cautioned that the economic macro surprise rally of the past three months… … has been mostly based on the back of “soft data” surprises, in other words, hope and moistly animal spirits, which “are driving the bulk of the US data surprises”…   … today, RBC’s head of cross-asset strategy Charlie McElligott looks at […]

Indexing Lunacy

By Chris at www.CapitalistExploits.at Market dislocations occur when financial markets, operating under stressful conditions, experience large widespread asset mispricing. Welcome to this week’s edition of “World Out Of Whack” where every Wednesday we take time out of our day to laugh, poke fun at and present to you absurdity in global financial markets in all its glorious insanity. While we […]

2016 – A Year Of Trading Dangerously

If 2016 taught traders anything, it was that old norms were useless and the concept of the market as a discounting mechanism (as opposed to an algo-driven headline-reacting maelstrom of manias) is lost forever. This flipping of reality is nowhere more evident in the topsy turvy shifts in risk expectations across global asset classes – […]

“The Shoe Has Dropped” – Low Vol ETF Sees Largest Outflow On Record

One month ago, we cautioned readers that according to recent fund flow data, Bank of America was convinced that the “next shoe to drop” would be so-called “low-vol” stocks, ETFs and related strategies, which due to their debt-like characteristics and steady dividend payouts, had emerged as one of the preferred hangouts during the period of […]