Kolanovic: “The Biggest Selling Pressure Was From Option Gamma Hedging On Wednesday”

Earlier today, we discussed how after the last 2-day furious selloff, the human-machine-human fingerpointing blame game had begun, with carbon-based traders accusing such systematic and risk-targeting quant strategies as risk-parity funds, CTAs, volatility targeting funds, and trend followers (which account for about $1.5 trillion in…

Bank Of America: “If It Doesn’t Bounce Now…”

On Thursday evening, we explained why to many traders the violent selloff observed on over the past two days had peaked: at exactly 2:43PM on Thursday, the NYSE was hit with a monster selling order perhaps the result of a last hour margin call. As…

Global Stocks Rebound To End Worst Week Since February

After a brutal two-day selloff that wiped out trillions in market cap and saw the most aggressive selling pressure in the S&P since the flash crash on Thursday afternoon, prompting some to speculate that the bottom had been hit… … global shares staged a broad…

These Are The Three Things That Could End The Market Sell-off

Yesterday’s violent US selloff was so sharp that US stocks are now back to where they were in the middle of January after peaking in September. And as noted earlier, the rout has spread with stock markets in the rest of the world following lower….

Italian Rout Returns As Salvini Blasts Juncker, Moscovici After Europe Mocks Budget

The selloff across Italian assets returned on Friday, with stocks and bonds sliding as traders had a chance to go over the additional budget details released on Thursday evening and consensus quickly forming that the controversial budget plans of Italy’s populist government are hanging on an economic…

Bitcoin Plunges For Second Time In One Day As Cryptocurrency Turmoil Deepens

The selloff across cryptocurrencies accelerated late on Wednesday, when bitcoin and other digital tokens dropped for the second time in less than 24, sinking to a nine-month low amid growing concern broader adoption of digital assets will take longer than some anticipated following an earlier…

“It Will Get A Lot Worse”: Global Stocks Tumble As EM Contagion Roils Markets

Global stocks tumbled on Wednesday, as a drop in European markets followed a broad sell-off across Asia, as rising pressure on emerging markets intensified concerns of contagion and spillover into developed markets, leading to a sea of red in world stocks. A day after emerging…

Italian Bonds Are Tumbling

Whether it is due to contagion from the latest emerging markets selloff, or growing concerns about Italy’s budget demands, another market that has gotten whacked on Thursday is the Italian bond market where BTP futures have reversed earlier post-auction gains, dropping to a day low…

Trump Considering Unilateral $100 Billion Tax Cut On The Wealthy

We may have an idea what was the (leaked) reason for today’s selloff in Treasurys, which pushed the 10Y yield just shy of 3.00%. According to the NYT, the Trump administration is considering a $100 billion unilateral tax cut meant to mainly help the wealthy,…

S&P Futures Rebound From Tech Wreck, But 10Y Yield Breaks Key Support

Following yesterday’s violent and unexpected equity selloff, driven by a so-called “tech wreck” as the FANG+ index dropped by 5.7%, the most on record, and stood on the edge of a key support line precipice… … this morning, global stocks are predictably lower across the…