Market News Archives - Cboe Blogs

  • Market News | Nov 13, 2015, 1:50 PM

    The Weekly Options News Roundup – 11/13/2015

    The Weekly Options News Roundup – 11/13/2015

    The Weekly News Roundup is your weekly recap of CBOE features, options industry news and VIX and volatility-related articles from print, broadcast, online and social media outlets. AFX Announces Liftoff On Tuesday, CBOE and Environmental Financial Products (EFP) announced plans to launch the American Financial Exchange (AFX) on Friday, December 11.  AFX is a new electronic marketplace for small and mid-sized banks to lend and borrow short-term funds. “CBOE Partners with EFP on Short Term[...]

  • Market News | Nov 13, 2015, 1:33 PM

    TYVIX Weekly Report: Who Is Afraid of a Little Rate Hike?

    TYVIX Weekly Report: Who Is Afraid of a Little Rate Hike?

    U.S. and European equities are the only market sectors to express some fear of a rate hike since the November 4, 2015, congressional testimony by Fed Chairwoman Janet Yellen, who indicated that a December increase in the federal funds’ target rate was a real possibility. From November 4 through the close on November 12, the VIX Index increased by18% and VSTOXX by 20%, in spite of the European Central Bank’s (ECB’s) commitment to extend its quantitative easing program. On the other[...]

  • Market News | Nov 12, 2015, 10:13 AM

    Interest Rate Concerns – Chicago Presentations on Nov. 16; TLT ETF is Down 4.7%

    Interest Rate Concerns – Chicago Presentations on Nov. 16; TLT ETF is Down 4.7%

    Interest rate concerns have been in the news this month. Please see the bottom of this Blog for information about interest rate presentations In Chicago this Monday, November 16. A Nov. 4 news story on Bloomberg stated that – “Federal Reserve Chair Janet Yellen and New York Fed President William Dudley both said the central bank could boost interest rates as soon as next month, while Fed Vice Chairman Stanley Fischer voiced confidence that inflation isn’t too far below the central[...]

  • Market News | VIX | Trader Talk | Futures | Trade Ideas | Nov 12, 2015, 7:30 AM

    Earnings Next Week - 11/16 - 11/20

    Earnings Next Week - 11/16 - 11/20

    Regular earnings season seems to have come to a close and now the numbers are mostly about retail.  The numbers below represent the last three years of stock price reaction except when the data is in italics (JD for example).

  • Market News | Trader Talk | Education | Futures | Trade Ideas | Nov 11, 2015, 8:01 AM

    Five Things I'm Looking Forward to at RMC Asia

    Five Things I'm Looking Forward to at RMC Asia

    The air was cold this morning as I headed to the train which means two things.  Thanksgiving is just around the corner and right after that CBOE will be in Hong Kong for our first annual CBOE Risk Management Conference in Asia.  The schedule is out and I’m excited about the whole docket, but five things in particular have me counting the days to November 30th. Ed Tilly, CEO of CBOE Holdings, will be speaking at the beginning of the second day to welcome attendees and give an update[...]

  • Market News | Nov 10, 2015, 8:00 AM

    Trading in Style (Russell 1000® Index Options)

    Trading in Style (Russell 1000® Index Options)

    Russell 1000® Growth & Value Index Options The CBOE recently launched options on the followed Russell 1000®, Growth, & Value Indexes. The Russell 1000 (Ticker: RUI) measures the performance of the large-cap. segment of the U.S. equity market. The Russell 1000 Growth Index (Ticker: RLG) measures the performance of Russell 1000 Index companies that carry a higher price-to-book ratios and forecasted growth values. The Russell 1000 Value Index (Ticker: RLV) measures the performance[...]

  • Market News | Trader Talk | Strategy | Trade Ideas | Nov 9, 2015, 4:00 PM

    Eye Catching RUT Put Spread from Today

    Eye Catching RUT Put Spread from Today

    Surveying the market as the sellers took the Russell 2000 Index lower today, a large trade stood out. There was a Vertical Put spread in RUT traded approximately 12,000 contracts with the trader buying the Nov. 13th 1020 Puts for 0.12 and selling the RUT Nov. 13th 1000 Puts at 0.04 for a net .08 debit.  This was done in a few lots with the underlying Russell 2000 Index trading between 1180 – 1182.55. Noting that the trader was buying the higher strike put and recognizing this position[...]

  • Market News | Education | Nov 9, 2015, 11:12 AM

    Pop Quiz: Which Russell 2000 Index is Outperforming in 2015?

    Pop Quiz: Which Russell 2000 Index is Outperforming in 2015?

    Russell 2000 Index (RUT) or CBOE Russell 2000® BuyWrite Index (BXR) Before I answer my own question let’s take a moment and refresh our memory on what is the CBOE Russell 2000 BuyWrite Index BXR℠. The CBOE Russell 2000 BuyWrite Index is an investment strategy benchmark index designed to track the performance of a hypothetical at-the-money buy-write strategy on the Russell 2000 Index.  It’s intended to measure the total rate of return consisting of a “long”[...]

  • Market News | Nov 9, 2015, 10:17 AM

    Weekly Market Outlook - Stocks Hang in the Balance

    Weekly Market Outlook - Stocks Hang in the Balance

    Stocks may have ended the week with a gain last week, but it didn't end the week on a bullish note. Every bit of last week's 0.9% advance (and then some) was reaped on Monday, with the market drifting lower over the course of the last three days of the week. Still, stocks hang in the balance between bullishness and bearishness... squarely in the middle. Surprisingly, big unemployment news didn't rock the market out of its rut. Don't assume Friday's employment report can't still have a market-moving[...]

  • Market News | VIX | Trader Talk | Education | Strategy | Nov 8, 2015, 8:13 AM

    The Week in Russell 2000 Trading - 11/2 - 11/6

    The Week in Russell 2000 Trading - 11/2 - 11/6

    The first thing that popped in my mind when I created the first chart in this blog was the story “The Little Engine that Could”.  This was a pre-Thomas the Tank Engine story of a little locomotive that achieves a great feat while telling himself “I think I can” repeatedly.  My mental analogy relates to the Russell 2000 (RUT) line below which pushed higher by over 3% last week closing the 2015 YTD gap with the Russell 1000 and also moved very close to positive territory[...]

  • Market News | VIX | Trader Talk | Futures | Nov 7, 2015, 11:22 AM

    The Week in Volatility Indexes and ETPs - 11/2 - 11/6

    The Week in Volatility Indexes and ETPs - 11/2 - 11/6

    The S&P 500 quietly rose just under 1% last week and VIX worked lower.  Across the board S&P 500 focused volatility indexes dropped with the possibility that any threat of increased volatility in the markets has been pushed out to 2016.  Of course back in August those same indexes dropped as the economic calendar was light and Labor Day was around the corner.  Note what happened on August 21st and August 24th when complacency started setting in. On the table below[...]

  • Market News | VIX | Blogging Options | Nov 6, 2015, 2:32 PM

    The Weekly Options News Roundup – 11/6/2015

    The Weekly Options News Roundup – 11/6/2015

    The Weekly News Roundup is your weekly recap of CBOE features, options industry news and VIX and volatility-related articles from print, broadcast, online and social media outlets. VIX Weeklys: A Better Option for All The newly launched VIX Weeklys options contracts are off to a strong start, trading an average of 25,000 contracts in October.  Matt Moran, CBOE Vice President of Institutional Marketing, explains why VIX Weeklys contracts are a good option for all VIX players. “VIX Weeklys[...]

  • Market News | Nov 6, 2015, 1:45 PM

    TYVIX Weekly Report - The Janet Yellen Factor

    TYVIX Weekly Report - The Janet Yellen Factor

    Encouraged by the downward trend in the U.S. unemployment rate and unfazed by a third contraction in the ISM Manufacturing Index, Federal Reserve Chair Janet Yellen told the House Financial Services Panel on Wednesday that a rate hike is still “a live possibility” for the December meeting of the Federal Open Market Committee (FOMC). As she testified before Congress at mid-week, TYVIX resumed the upward path it had followed since October 22. Interestingly, positive reports on jobless[...]

  • Market News | Nov 6, 2015, 1:03 PM

    Weekly Stock Market Commentary - Indicators Are Still Bullish

    Weekly Stock Market Commentary - Indicators Are Still Bullish

    The stock market's strong rally has continued for another week, although it's beginning to act a bit tired, and the market is getting overbought. Even so, the $SPX chart is still in an uptrend, and there is support at 2040, 2020 and 2000. Equity-only put-call ratios continue to plunge, and that is bullish for stocks. These ratios are now in the lower portion of their charts, which is just on the verge of being overbought. Market breadth has remained one of the weaker components. At the current time,[...]

  • Market News | Nov 3, 2015, 1:00 PM

    First Annual CBOE RMC Asia to Cover Many Topics, including Worldwide Volatility, Options Skew, and Risk Management

    First Annual CBOE RMC Asia to Cover Many Topics, including Worldwide Volatility, Options Skew, and Risk Management

    The CBOE Risk Management Conference is the premier educational forum for users of equity index options and volatility products. Now in its 31st year in the US and 4th year in Europe, CBOE is pleased to bring this experience to Asia. The First Annual CBOE Risk Management Conference Asia will be held on November 30 - December 1 at the JW Marriott Hotel, Pacific Place, 88 Queensway, Hong Kong. TOPICS Topics to be covered include – Primer on Options and Volatility Strategies ​Benchmark Indexes[...]