Tag Archives: futures

Other Strategies for Fixed Income in Brazil

Over the past 10 years, the highest overnight reference rate from the Brazilian Central Bank has been 14.25% from July 2015 through September 2016. In an attempt to hold back the depreciation of the Brazilian real and to keep inflation within the target range, the reference rate dropped 775 bps to 6.50% at the end Read more […]

Decomposing Recent Volatility Events Part 2

In my previous blog, we compared a daily inverse index to a “true short” and discussed the increasing vega exposure in the S&P 500® VIX® Short Term Futures Inverse Daily Index over the past couple of years. In this blog, we analyze how the mechanics of a VIX futures index, a low volatility environment, and Read more […]

Decomposing Recent Volatility Events Part 1

After a strong January 2018, the U.S. equity market started February with a roller coaster ride. The CBOE Volatility Index® (VIX®), which has been relatively quiet over the past couple years, spiked up and crossed the 50 mark intraday on Feb. 5, 2018. On the same day, the S&P 500® VIX Short Term Futures Inverse Read more […]

What a Portfolio Might Look Like After Adding a Pinch of Real Assets

In December 2015, S&P Dow Jones Indices launched the S&P Real Assets Index, the first index of its kind, which is designed to measure global property, infrastructure, commodities, and inflation-linked bonds, using liquid and investable component indices that track public equities, fixed income, and futures. The S&P Real Assets Index includes global infrastructure (35%), property Read more […]

Gold & Silver: Fed Rate Hike Vs Mine Supply

Two factors tend to consistently influence gold and silver — interest rate expectations and mining supply.  Changes in interest rate expectations typically exert a short-term, day-to-day influence that is exogenous to the metals market while mining supply has a long-term, year-to-year influence that is endogenous. Precious metals prices seem to exert little to no influence Read more […]

Energy Stocks Might Be The Wrong Play As Oil Rises

The headline story in oil is that it settled at its highest level of the year. Prices got a boost from a weaker U.S. dollar and there is an expectation in the market that weekly data will show a decline in U.S. crude inventories. The next story is that energy stocks rallied on higher oil, but historical data Read more […]

The Next Big Futures Market May Be OUT OF THIS WORLD or in CHINA

In my post about globalizing futures, technology and logistics were highlighted as key factors to expand local commodities into a global commodities.  What I failed to mention is that these same keys may unlock potential futures markets growth beyond Earth.  That may seem extraordinary but the potential is real since according to this article on Read more […]