Skip to main content

August 6, 2008, VIX Weakens

Dan Deming spoke on Bloomberg TV about the most recent rally in the market and how the VIX futures have softened. Looks like the pros were selling calls in the market place and taking some profit. We'll see if the market can keep making higher lows when it starts to sell off. 1250 in the SPX seems to be a critical hold point.

Listen to Dan Deming at
http://media.bloomberg.com/bb/avfile/Markets/Vol_Report/voRSqiuhdag0.mp3

Comments

Post a Comment

Popular posts from this blog

Morning Update

Yesterday JC Penny reported what some are calling “The Worst Quarter in the History of Retail.” The company reported a quarterly loss of $2.51 per shares and that revenue dropped 24.8%. Revenue at stores open for at least a year fell 31.7% and customer traffic dropped 17% last quarter following a 10% decrease in third quarter. Not surprisingly these dismal numbers spurred option traders to make some large bearish bets on the stock. The biggest was the purchase of 30,000 May 16 puts for $1.57 with the stock at 17.50. This trade will be profitable if JCP is below 14.43, 17.5% lower, by May expiration. One of the biggest concerns investors should have in JC Penny’s cash supply. In November they told investors that they would end the year with $1 billion in cash, but ended up with only $930 million. Wednesday they then told investors that they had delayed $85 million in payments to their suppliers until the early part of the first quarter. This is another red flag that the company is run...
Post a Comment
Read more