Options volume on expiration light due to Boston lockdown
Angela Moon and Doris Frankel, Reuters
Options trading volume on Friday was unusually light as much of Boston, a major U.S. financial center, was under lockdown as police hunted for a suspect in Monday’s Boston Marathon bombings.
**Obviously, the options volume was not the tragedy here. A very sad time for Boston and for all of us. — SR Credit Suisse Embraces the Dark Side of Trading
Nathaniel Popper, Dealbook
The debate over dark pools — private, electronic stock trading platforms — may get more murky.
Credit Suisse, the operator of the nation’s largest dark pool, has told the major industry data providers that it will no longer provide information on how much trading happens in its pool, CrossFinder.
**Interesting…guess they are not happy about NYSE Euronext claiming Credit Suisse is under reporting volume. -JB Fear Gauge Shows Equities Selloff Might Be Near End
Kaitlyn Kiernan, The Wall Street Journal
With the VIX comfortably within a new low-volatility period, the S&P 500’s recent pullback might be nearing its end, according to Jim Strugger, a derivatives strategist at MKM Partners.
http://jlne.ws/12t83qw Investors’ Reaction to Earnings Reports Boosts VIX
Wall Street Sector Selector
Despite a positive earnings reporting season, some crucial earnings misses on Thursday spooked investors and boosted the VIX.
http://jlne.ws/12t9t4j Equities firm after volatile week
Dave Shellock, Financial Times
A week dominated by an extraordinary fall in the gold price, and heavy losses for other commodities, ended with the yellow metal staging a fightback while oil and copper took divergent paths.
http://jlne.ws/15se4Hg Volatility Emerges from Winter-Long Hibernation — But is it Here to Stay?
Matt Egan, Fox Business
After going nearly silent throughout the winter, volatility has crept back onto Wall Street in recent days as investors fear a global economic slowdown, collapsing gold prices and scary geopolitical headlines.
http://jlne.ws/11mlyan Wall Street rebounds with help from tech shares; IBM tumbles
Rodrigo Campos and Leah Schnurr, MSN Money
Most stocks rose on Friday, bouncing back a day after the S&P 500 closed below its 50-day moving average for the first time this year, but IBM’s largest drop in eight years held back the Dow.
http://jlne.ws/12t8KQM Wall St stocks in biggest fall in months
Arash Massoudi, Financial Times
Wall Street stocks had their biggest fall since November in a week marked by lacklustre corporate earnings from the financial and technology sector, with the leading US benchmark dropping away from record levels.
ExchangesCBOE Release 40th Anniversary Video
To commemorate the 40th anniversary of Chicago Board Options Exchange (CBOE), CBOE today released “CBOE 40” ( http://www.cboeoptionshub.com/cboe40/, a video documentary that chronicles the history of CBOE through interviews with key figures in CBOE’s history, including CBOE founder and first president, Joe Sullivan. The video is a fast-paced look behind-the-scenes at events that led to creation of CBOE and the listed option industry, with then-and-now photos.
**I highly recommend this video (and not just because the JLN team produced it). Very interesting stuff. -JB
**Don’t forget to wait for the end credits! A great job by Jim, Ryan, Patrick and RJ. — SR CME takes on U.S. rival with smaller silver contract
CME Group Inc said on Thursday it will launch a smaller 1,000-ounce physical silver futures contract that will compete with rivals in attracting more retail demand and hopefully boost flagging trading volumes in the metal.
http://jlne.ws/12t5xR6 BATS exchanges to start charging for market data
Reuters (via MSN Money)
Equities exchange operator BATS Global Markets will start charging U.S. clients for access to its proprietary market data as of July 1, a move that will bring in new, steady revenues as a multi-year market-wide slump in trading volumes continues.
RegulationWhat does the buy side want? A Goldilocks approach to HFT regulation
Ari Burstein, senior council for the Investment Company Institute, sums up what member buy side firms want from regulators: a measured approach.
TechnologyNYSE’s new data feed competes with consolidated tape
Herbert Lash, Reuters
NYSE Euronext (NYX.N) has rolled out a new data feed for wealth managers that might reduce revenue that goes to the overseer of the consolidated tape, the cornerstone of the stock market for quotes and share prices.
StrategyOptions Volatility at Earnings Season
Now that earnings season has started, I thought it would be a good time to discuss the importance of volatility in options pricing.
http://jlne.ws/12t60CY Combine Silver ETFs and Covered Calls with SLVO – ETF News And Commentary
Silver has been performing terribly of late owing to weakening overseas trends and slack demand. An increasing appetite for equities over commodities, feeble Chinese growth and a possible sell-off by the central bank of the still struggling Cyprus have weighing on the silver prices.