The Week Ahead
Volume 58 - Stopped in, stopped out and shaken all about
“Be brave. Take risks. Nothing can substitute experience.”
-- Paulo Coelho
Last week’s post was titled “Stop in, stop out, shake it all about” - a short post that couldn't have been more spot-on, if I may say so myself.
“Something I read in a GS FICC & Equities note makes this section much easier… ‘As is so often the case, the simplest messages often have the greatest impact’. The dollar is not a buy.”
“My Rule Britannia theme continues for cable - 1.28, here we come.”
Rule Britannia theme does not spill over to rates… I am currently short SONIA Jun 24 at 94.37; more details on this later in the post…
“I still cannot see any top for AAPL and MSFT.”
Maybe the tenth time I have said it this year.
“We already have the IWM bull calls for July hence my purchase of the S&P e-mini 4400 call at 11.75 this morning. SPX calls are cheap…”
cheap indeed… we were offloading them up in the 70s
“a one-week ATM straddle costs 1.34%, which is cheap. Breakevens on that SPX 4300 straddle are ~4242 and ~4358… With all the events this week, it could be a good trade to (for once) buy a straddle.”
sold at 136…
“Expect the dots to show one additional hike to 525-550.”
Not correct…
Have a read below…
Our SOFR put fly finally expired on Friday, which worked wonders… Not much to add regarding last week.
A quieter week in the US. BOE on Thursday…
Let’s begin this post with UK rates…