S&P 500

As we have pointed out numerous times, Goldman notes that elevated US policy uncertainty and geopolitical risk indicate heightened risk of more frequent political and geopolitical tail events, in the form of both ‘known unknowns’ or ‘unknown unknowns’...

And given the extreme complacency in markets, Goldman suggests the following trade as a clean way to play that concept of reality emerging into market pricing once again...

Which equity option strategies work in low volatility markets?

In an eventful overnight session which saw a historic transition in Saudi Arabia, an unexpected Republican victory in the Georgia Special Election, China's inclusion in the MSCI EM index and Travis Kalanick's resignation, S&P futures continued to fall, alongside stock markets in Asia and Europe, while oil prices extended their drop despite a larger than expected draw reported by API on Tuesday.

Authored by Alastair Crooke via The Automatic Earth blog,

Authored by Duane Norman via Free Market Shooter blog,

In spite of low volumes, US stock markets made fresh all-time highs today:

The Dow Jones industrial average rose about 140 points and hit intraday and closing records, surpassing a previous all-time high of 21,391.97, which was set last week.

 

Authored by Lance Roberts via RealInvestmentAdvice.com,

On Monday, the markets broke out, again, to all-time highs. This is not surprising and something that I noted over the weekend. To wit: 

“Stepping back from the sector-specific action, if you only looked at the S&P 500 to judge what was happening in the markets, you wouldn’t suspect anything was wrong.”