MEME 2.0: Traders at the Casino

History quietly clears its throat

The tax refund season is upon us. Deutsche Bank shows how this money will find itself into equities normally and sometimes also far out on the risk curve. Periods of large equity inflows have repeatedly aligned with spikes in bullish option buying. When liquidity meets leverage, meme dynamics can re-emerge fast. The last time stimulus checks hit, volatile, high short-interest names ripped. The aftermath was less glamorous.