CBOE

Minsky, Myopia, & Why The S&P 500 Is A Bloated Corpse

"Natural bodies can tend towards equilibrium, i.e. death. Markets cannot. They’re doomed to flatline, and then to always come back from near death experiences. They tend to do so in violent ways though. When volatility at last returns, so will price discovery. It won’t be pretty."

1987 Versus 2017: Will History Repeat Or Just Echo?

"...no single event can be blamed for the crash that occurred on October 19, 1987, rather a confluence of factors and events caused a rapid erosion in market confidence. The same can be said in 2017. No single factor indicates conclusively that a stock market correction is imminent, but the risks are out there and merit continued attention..."

Bitcoin Tumbles Below $4000 - Down 21% From Record High

For the first time since August 22nd, the USD price of Bitcoin has dropped below $4000 - down over 20% from its record highs on September 1st. Crackdowns by China (on ICOs and more recently confusion over Bitcoin exchanges) combined with JPMorgan's Jamie Dimon's comments today saw selling pressure extend as China opened...

A Brief History Of Tail Risk: From LTCM, ABX, CDS, To VIX

"While I think valuations may be stretched, my bigger concern is that the real risk lies in market structure – more specifically to volatility and correlation strategies that quickly propagate through the financial markets with the aid of algorithmic trading..."

How To Prepare For Another Market Face-Pounding

"...the late-1990s term Goldilocks is again being used to describe why the slow growth, low unemployment, economy is good for stocks. Apparently, if an economy is not-too-cold, but not-too-hot, stocks can go up lots and lots."