Commodities: Disparate Trends
May 28, 2024

Short term commodity price developments are in disagreement with longer term market-based forecasts. Although this is often the case, as markets are buffeted by short term events that aren't necessarily related to long term factors, the current disparity seems glaringly ...

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Another GME Rally: Diagnosing the Boom and Bust
May 21, 2024

Last week’s random meme stock resurgence put another wet blanket on the efficient market hypothesis. The catalyst for this latest run was a Sunday night tweet from one of the original characters of the OG meme stock craze of '21, ...

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Crude Oil: Implied Volatility and Geopolitical Events
April 23, 2024

The most recent geopolitical events in the Middle East have thrust crude oil back into the news. As of April 15, front month Brent crude was up almost 17% year-to-date. If the situation worsens, and the region slips into a ...

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Dynamic Covered Calls on Magnificent 7 Stocks
April 17, 2024

Garrett DeSimone, PhD, Head of Quant Research, OptionMetrics Jeff Corrado, Director of Operations, Volos Portfolio Solutions A covered call is a fundamental options strategy, employed by a wide range of investors, from retail investors, to those in embedded ETFs, pension ...

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Can Options Data Tell Us Anything About Bubbles?
March 11, 2024

Reminiscent of the mania of the late 90's, investors are naturally asking whether stocks associated with artificial intelligence, specifically Nvidia, are in the midst of a financial bubble. Since the exact definition of a bubble is as varied as ...

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Commodities: Not So Fast!
February 21, 2024

Things seem to be looking up for the US economy. GDP growth is good, inflation is moderating, and interest rates are on the decline. Despite these favorable indicators, commodities are telling a different story. Broadly speaking, commodities, as measured by ...

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TSLA – Less Risky Amid Significant Pessimism?
February 12, 2024

Tesla (TSLA) stock has already experienced a significant decline in 2024, reaching new lows not seen since May 2023 and earning the title of the “worst-performing S&P 500 stock of the year” by some. TSLA’s steep drop has been accompanied ...

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The January Barometer: Fact, Fiction, or Both?
January 11, 2024

The start of the year always brings predictions of what the new year will bring. Among the most popular Wall Street auguries is the so-called “January Barometer," or the belief that the market's investment performance in January is indicative of ...

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Stocking Stuffers: Macy’s Potential Buyout and Options Expectations
December 14, 2023

On Monday morning, Macy's stock experienced a significant surge of over 20%, propelled by news of a potential buyout from two prominent hedge funds—Arkhouse Management and Brigade Capital Management. The proposed buyout, valued at $5.8 billion, offered shareholders an enticing ...

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