At-a-Glance
Key Takeaways with Craig
After an eventful week that included the much-anticipated US Presidential election and a 25 basis point cut to the Fed Funds target rate at the FOMC meeting, US Equity and Cryptocurrency prices wound up sharply higher. After the dust settled, here is a recap on the week in a format that should be familiar to regular readers and using data from CVOL and Quikstrike:
- As we said, Equity prices rocketed higher, as the E-mini S&P 500 and Nasdaq-100 were both up by about 5% and the Russell 2000 rallied by 9%. With the uncertainty of the election out of the market, implied volatility in CME’s Equity Index options came off sharply.
- CME’s 2-Year Yield future rose slightly and the 10-Year fell slightly as the yield curve between those two points flattened. CVOL fell by about 31%.
- Gold futures prices fell by about 2% and CVOL, as it did in all of the products we looked at, fell.
- Bitcoin futures prices were up by about 11% on the week as cryptocurrencies saw a broad rally after the election results.
So, with that behind us, for now, volatility in the markets we looked at has come down substantially, but we’ll be back next week to report on the continuing market reaction. Have a great weekend!
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