In this episode of the OPEX Effect, we explore the current market rally and discuss the concept of "correlation spasms" - unusual movements and relationships between market components. We examine record low volatility, the outsize impact of mega-cap tech stocks, and the recent surge in small-caps. We analyze the prevalence of zero days-to-expiry options trading and its effects on intraday volatility. We consider potential scenarios for how current market imbalances may unwind and highlight key indicators to watch around the upcoming options expiration. Our goal is to provide insight into the complex forces driving markets, helping long-term investors better understand and contextualize daily market moves, even if they don't actively trade based on these shorter-term dynamics.
Podden och tillhörande omslagsbild på den här sidan tillhör Brent Kochuba, Jack Forehand and Justin Carbonneau. Innehållet i podden är skapat av Brent Kochuba, Jack Forehand and Justin Carbonneau och inte av, eller tillsammans med, Poddtoppen.
