You might wonder why gold is down in a day like today?
diversification does not always work. When margin calls happen everything gets liquidated...
NASDAQ FUTURES CLOSE TO TRIGGERING CIRCUIT BREAKER.
The limit-down level for the current $NQ contract is at 17,265.25, or a 6.9% drop from Friday's close. This has not happened since the COVID selloff in March 2020. Source: Trend Spider
VIX hit 65. To put things in context: this is the 3rd biggest VIX spike in history...
The VIX is now just 15 away from its record high of 80 hit when the global economy shut down and the US market tumbled 30% Source: www.zerohedge.com, Bloomberg
For the history books -> This was the worst day for Japan’s Nikkei stock index since the Black Monday crash of 1987, down 12.4%.
Source: Trading View
JUST IN 🚨: Robinhood suspends 24-hour trading market
Source: Barchart
Fed's emergency rate cut never happened when the VIX was below 40.
It seems that we are getting there... Source chart: Yahoo finance
💥 Treasuries surge as traders bet on emergency Fed rate cut 💥
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Volatility is back...
The average S&P 500 stock has seen a 5% one-day move after releasing Q2 2024 earnings. This marks the most volatile earnings season since the 2008 Financial Crisis, according to Goldman Sachs. By comparison, in Q1 2024 and Q4 2023, the average stock moved by ~4% one day after the release. The volatility index, $VIX, is now up ~95% over the last month alone. Volatility is opportunity for traders. Source: The Kobeissi Letter
