Anxiety high ahead of jobs data, traders guard against surprises
Doris Frankel – Reuters
Options market investors are preparing for a bumpy ride in case of a surprise – be it a good or bad number – from the June U.S. jobs report due out on Friday.
http://jlne.ws/14RgsTS Up or Down? Decision Time for the Market
Michael Kahn – Barron’s
Stocks are sandwiched between two key technical levels. Which one blinks should make the difference between a summer rally and a rainy day at the beach.
http://jlne.ws/18winCU VIX Perks Up on Tuesday
Wall Street Sector Selector
The “Fear Index” got a boost on Tuesday as widespread apprehension about Friday’s non-farm payrolls report put investors in a selling mood.
http://jlne.ws/120Yi3x Videocast: A look at VIX before holiday
http://jlne.ws/14Rhxeo Bitcoin Exchange-Traded Offering Seen Facing Tough Regulatory Scrutiny
David Benoit and Chris Dieterich – The Wall Street Journal
With their plan to launch a bitcoin exchange-traded investment offering, Cameron and Tyler Winklevoss aim to get more investors involved in the digital currency and expand its credibility. But their virtual currency offering faces a real world problem: regulators.
**As an aside, if you ever get a chance tell my boss how much you love Bitcoins. Let me know how it goes. -JB Structural barrier to HFT participation in Asia OTC markets
Viren Vaghela – Risk Magazine
It is too early for high-frequency trading (HFT) firms to participate in the trading of cleared over-the-counter derivatives in Asia because of barriers such as cost and liquidity, according to Farid Moslehi, head of Asia at KCG, the newly established electronic trading firm, formed from the merger of Knight Capital and Getco.
**Worth pointing out that the article notes that, “59% of total trading volume in the US options market comprises HFT strategies.” -JB
ExchangesICE Reports Second Quarter Futures ADV up 3%; Buyside CDS Clearing Surpasses $1.5 Trillion
Press Release (ICE)
IntercontinentalExchange (NYSE: ICE), a leading operator of global markets and clearing houses, today reported futures volume for June and the second quarter of 2013. ICE’s average daily volume (ADV) for futures and options for June 2013 was 3,465,509 contracts, a decrease of 4% from the prior June. Total volume in June 2013 was 69 million contracts. ADV for the second quarter 2013 was 3,544,688 contracts, an increase of 3% from the prior second quarter. All prior period contract volumes have been adjusted to include the transitioned futures contracts, which previously traded in ICE’s OTC markets.
RegulationDeadline on Trading Rules Abroad Splits an Agency
Ben Protess – Dealbook
Wall Street lobbyists, seeking to delay a July 12 deadline for rules that would rein in lucrative trading by banks overseas, pressed their case before a top Washington regulator last week.
TechnologyWhere is the Innovation in Trading Technology?
Ivy Schmerken – Wall Street & Technology
Complaining about the sluggish state of innovation in trading technology, market participants pointed to low volumes and cost pressures as reasons for the innovation gap.
StrategyLEAPS as an Alternative to Buying ETFs
Justin Kuepper – Moneyshow.com
Long-term equity anticipation securities (LEAPS) are long-term stock options with expiration dates set at least 12 months into the future. Long-term investors that normally shy away from traditional stock options can use LEAPS to gain long-term exposure to ETFs without actually spending the money to buy shares in them.