|Day's Range||16.82 - 19.02|
|52 Week Range||11.03 - 24.81|
U.S. District Judge Manish Shah in Chicago found no proof that Cboe Global Markets Inc intended to defraud investors by letting the "John Doe" traders manipulate options and futures tied to the fear gauge, known as the VIX, to generate higher transaction fees. In a 48-page decision, Shah said he found no plausible allegations that Cboe knew who the John Does were or worked with them to rig the VIX, as Cboe Volatility Index is known, or that Cboe's failure to enforce its rules caused losses for investors not involved in any manipulation.
The stock market has predicted nine of the past five recessions, according to the famous quip of economist Paul Samuelson. Surely, though, last year’s 29% gain in the S&P 500 index portends robust growth during 2020, doesn’t it? Not necessarily, according to David Ranson, a familiar name to Barron’s readers, who heads HCWE & Co.—even though it would be consistent with the long-observed presidential cycle, in which the third year traditionally is the best of the four-year term for stocks, as Washington tries to stoke the economy ahead of the election campaign.
Politics and profits will influence the stock market more so in 2020 than they have in any other year over the past decade, according to Doug Kass of Seabreeze Partners Management, who calls himself “a cynic looking for truth.”
Stocks closed lower on Tuesday afternoon after reports that the U.S. would not be rolling back tariffs on China until after the 2020 presidential elections. One expert is pessimistic that relations between the two countries will improve anytime soon.
(Bloomberg) -- Follow Bloomberg on Telegram for all the news and analysis you need.Safe-haven assets, U.S. equity futures and Asian stocks swung wildly Wednesday as tensions in the Middle East escalated, rattling global financial markets.Iran’s attack on American military bases in Iraq, a response to the killing of General Qassem Soleimani by American forces last week, injected new volatility into global assets that enjoyed a blockbuster 2019. S&P 500 futures dropped as much as 1.7% as fears of a protracted conflict increased, before paring the decline as Tehran said it wasn’t seeking a war, and President Donald Trump declared “all is well.”Here are some charts showing the moves:Oil and U.S. StocksWest Texas Intermediate crude futures initially jumped by as much as 4.4% while CME E-mini S&P 500 Index futures tumbled by more than 1%. The moves eased later as there were no signs of an immediate military response from Washington.Treasuries, Dollar/YenTen-year Treasury yields dropped more than 11 basis points to 1.70% before paring much of the loss, and the dollar swung against yen. Further conflict in the Middle East could send 10-year Treasury yields to as low as 1.6% in the short-to-medium term, said Kyle Rodda, analyst at IG Markets in Melbourne.GoldThe precious metal rose through $1,600 an ounce to the highest level since 2013 before retreating from its highs.VolatilityThe Nikkei Stock Average Volatility Index soared as much as 4 points and CBOE Volatility Index January futures advanced almost 3 points, as options traders scrambled to reprice future expectations for swings in stock markets. The moves retraced as investors stepped in to buy the dip in risk assets.(Updates throughout with rebound in risk assets.)\--With assistance from Ruth Carson.To contact the reporters on this story: Andreea Papuc in Sydney at email@example.com;Cormac Mullen in Tokyo at firstname.lastname@example.org;Adam Haigh in Sydney at email@example.comTo contact the editors responsible for this story: Christopher Anstey at firstname.lastname@example.org, Joanna Ossinger, Ravil ShirodkarFor more articles like this, please visit us at bloomberg.com©2020 Bloomberg L.P.
Any substantial escalation of the conflict likely would lift volatility, prompting increased buying and selling of the Cboe Volatility Index and benefiting the company. Here’s how to play the stock with options.
The strength of the stock market can be seen from the many gaps on the rising chart of the S&P 500 index (SPX) I’ve circled three of them in the accompanying chart (red circles). The strongest of these near support levels is 3,215-3,220.
Investors are trying to determine if the stock and oil market turbulence is the start of a new volatility regime, or just another chance to buy hot stocks at lower prices.
Wall Street's major indexes fell from record highs on Friday after a U.S. air strike in Iraq ratcheted up tensions in the Middle East and a bigger-than-expected contraction in the U.S. manufacturing sector raised concerns of slowing economic growth. Friday's decline put the benchmark S&P 500 in the red for the week, snapping a five-week winning streak for the index. Demand for safe-haven assets soared as Iran vowed revenge for the killing of Qassem Soleimani, head of its elite Quds Force, in an air strike authorized by U.S. President Donald Trump.
The killing of top Iranian general Qassem Soleimani is sending shockwaves through the Middle East. Director of Future Iran Initiative at the Atlantic Council Barbara Slavin along with retired Lieutenant Colonel Daniel Davis break down what the attack could mean for future relations between the U.S. and Iran. Yahoo Finance's Zack Guzman & Julia La Roche, along with 'The Morning Brew' Business Editor & Podcast Host Kinsey Grant join in on the conversation.