At-a-Glance

Key Takeaways with Craig

During a week in which cryptocurrency stole the financial headlines as the price of Bitcoin neared 100,000, US Equity prices also rose, with the Russell 2000 pacing the gains and the Dow Jones Industrials closing at or near record highs.  As we often do on Fridays, here is the recap of net price and volatility changes in some of CME’s most popular products among individual traders, using CVOL and QuikStrike data:

  • As we said, cryptocurrency prices stole the show this week as the price Bitcoin neared 100k.  Some of the more deferred futures months are trading at over 100k, while the front month was up by 8%.  Implied volatility in the options rose and the skew remains toward the Calls. 
  • Equities were higher as well, with the Russell 2000 up by about 4%.  Interestingly, implied volatility fell in the S&P 500 and Nasdaq-100, but was higher in the Russell 2000 options.
  • CME’s 10-Year Yield future was near steady on the week, while the 2-Year was higher.  This flattened the yield curve between those two to about 7 basis points, down from about 15.
  • Natural Gas prices and options implied volatility were both active this week as we head into the winter months, here in the Northern Hemisphere.

That’s where we stand as we look ahead to the upcoming Thanksgiving week here in the US.  Of course, even with the holiday, we will be watching for some scheduled economic reports, including consumer confidence, FOMC minutes, US GDP and the PCE inflation report.  We wish everyone a safe and happy weekend and we’ll see you next week.  

Traders Resources

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