Key Takeaways with Craig

After another extremely volatile week to begin the Month of May, we’ll take a look at the net changes in price and implied volatility using QuikStrike data, as we often do on Fridays.  Keep in mind, in order to meet publishing deadlines, we compiled the chart below with about an hour and a half left in cash equity market trading and, given the quick swings in the market we’ve seen all week, these numbers could change, but we think this is a good proxy for the weekly action:

  • US Interest Rates continue to grab headlines after this week’s FOMC decision.  The Micro 10-Year Yield increased by about 20 basis points while volatility in CME’s Treasury options markets remained relatively steady.  The curve between the 2s and 10s steepened to about 34 basis points (using the Micro Treasury Yield futures prices). 
  • While definitely not a straight line all week, US Equity prices were down just slightly (again, barring a late day price break or rally).  Implied volatility declined a bit since last Friday.
  • WTI Crude Oil futures prices continued to rise this week
  • Natural Gas futures prices and implied volatility continue to trade at historically high levels
  • Cryptocurrency futures prices declined

So, after a week of big intra and inter day price swings, energy and interest rates saw the big net changes after the dust had settled.  We wish all of our In FOCUS readers a happy Derby and Mother’s Day weekend and we’ll see you on Monday!

Today's Future Price Action

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