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JLN Options
June 07, 2019  
 
Spencer Doar
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Tech-X Second Biennial Awards
Sign-up HERE

The second biennial TechX awards will be held on the former trading floor of the Chicago Board of Trade on June 24. The event will honor Jack Sandner and Hazem Dawani for fostering innovation and advancing an entrepreneurial spirit in our community and around the world. Created in 2017, Tech-X is a biennial event hosted by the Illinois Institute of Technology ("Illinois Tech") to recognize a technology leader who fosters innovation and advances an entrepreneurial spirit in our community and around the world.

Location: Skylight Board of Trade 141 West Jackson Boulevard, Chicago, IL 60604
Date: Monday, June 24, 2019
Time: 6:00 p.m. Reception | 7:00 p.m. Dinner

Watch the video »


 
 
Lead Stories
 
Stock options traders get defensive, tariffs in focus as G20 looms
Alden Bentley - Reuters
Stock options traders are growing cautious, with a Group of 20 meeting later this month looking like a last chance for the United States and China to back away from a market-rocking trade war and Mexico also bracing for threatened tariffs.
/jlne.ws/2MxDYpP

Investors, Buy the Dips: The Economic Cycle Isn't What It Used to Be
Jon Sindreu - WSJ (SUBSCRIPTION)
It may be time for investors to stop worrying and learn to love the boom. The inevitable bust could be further off than is commonly believed, but it could also be more painful.
/jlne.ws/2MyRGJg

Market Turmoil Like Fourth Quarter 2018 Looms Again: Citigroup
Cormac Mullen - Bloomberg (SUBSCRIPTION)
A mismatch between high investor uncertainty and low levels of volatility means that markets should be prepared for the kind of sell-offs of risk seen in late 2018, according to Citigroup Inc. strategist Matt King.
"It was a taste of how markets should have been pricing risk all along," King said of the turmoil in the final three months of 2018. That "was not some strange anomaly in which investors overreacted to a Fed speech and then found seasonal illiquidity amplified the market moves when they tried to withdraw their money," he wrote in a note to clients Thursday.
/jlne.ws/2MySgqt

 
 
Exchanges and Clearing
 
Derivative traders in India pay up to 500 times more margin, says study by SEBI sub-committee
Tarun Sharma - MoneyControl
India is the only country in the world where initial margin charged in the F&O segment consists of three margins. All other countries charge only SPAN margin.
/jlne.ws/2QTQpLa

JPMorgan voted Trading House of the Year at annual FN awards
Juliette Pearse and Samuel Agini - Financial News
Investment bank JPMorgan and Europe's largest equity trading venue Cboe Global Markets once again dominated the Financial News Trading & Technology Awards Europe winners' podium at the V&A Museum in London last night.
/jlne.ws/2QUiGRQ

 
 
Moves
 
Steve Grob exits ION Published
Louisa Chender - FOW (SUBSCRIPTION)
Grob was at Fidessa for almost fourteen years before the takeover
/jlne.ws/31glJZt

 
 
Regulation & Enforcement
 
FTT: Now That Germany Has Moved, Expect Others to Follow
Daniel Carpenter, Meritsoft - Tabb Forum
More and more European countries are enforcing financial transaction taxes. But handling these pending additional tax rules on existing temporary solutions would be ill advised, failing in that all-important goal of minimizing tax bills and auditability.
/jlne.ws/2KAklef

Emir 2.2 tiering decision not expected before end of year
Rebekah Tunstead - bobsguide
A decision on the tiering between systemically important and non-systemically important third country central counterparties (CCPs) is unlikely to come to a conclusion before the end of this year, said Patrice Aguesse, head of the market regulation division at France's national conduct authority the Autorité des Marchés Financiers, on a panel discussion at the FIA's IDX in London this week.
/jlne.ws/31i57k4

Denmark Follows U.K. to Ban Binary Option Sale to Retail Clients
Frances Schwartzkopff - Bloomberg (SUBSCRIPTION)
Denmark plans to ban the sale of binary options to retail customers, saying the securities are too complex and risky for non-professional investors.
/jlne.ws/2MxxBmw

 
 
Strategy
 
Gundlach Recommends Closing Trade That Returned 22% in a Month
Sarah Ponczek - Bloomberg (SUBSCRIPTION)
DoubleLine CIO pitched a put-call straddle on TLT at Sohn; 'If you put it on, taking it off now makes sense': Gundlach
Jeffrey Gundlach is satisfied with the pitch he gave at the New York Sohn Investment Conference last month. Now, he's advising investors take profits and close out the trade.
/jlne.ws/2MA87ov

 
 
Education
 
Traders can take advantage of skews
Bloomberg (VIDEO)
When supply and demand create a volatility disparity within the market it reflects bias in the buyer. Buyers lean in one direction or another due to the perceived risk in the market.
/jlne.ws/2Mw6zMg

How to measure and interpret implied volatility for trading options
Sneha Seth and Angel Broking - Business Standard News
When it comes to implied volatility of options, it is slightly difficult to understand the concept offhand, unless you are able to understand a variety of related concepts. For example, it is essential to understand historical volatility and the Black & Scholes Model for options valuation before you can apply IVs. Let us begin with historical volatility first!
/jlne.ws/2QWxwY7

 
 
Miscellaneous
 
Ballyhooed Bitcoin Futures Contract Bows Out With a Whimper
Matthew Leising - Bloomberg (SUBSCRIPTION)
Final Cboe crypto contract expires at 2:45 p.m. CT on June 19; Chicago exchange doesn't plan to list any more contracts
Just before 3 p.m. Chicago time on Wednesday June 19, a bit of Bitcoin fanfare will die.
/jlne.ws/31fCqUF

 
 
 
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John Lothian News (JLN) is the news division of John J. Lothian & Company, Inc. (JJLCO). The online media and financial services firm is staffed by derivatives industry, journalism and technology professionals.
 
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John Lothian News Editorial Staff:
 
John Lothian
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Sarah Rudolph
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Jeff Bergstrom
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Spencer Doar
Editor
 


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