IB Traders Insight


NEW - IB Traders' Insight Daily Commentary Videos View Videos

1 2 3 4 5 2 1152


Options

What's Trading: Trader Bullish on Micron


CBOETV - Peter Lusk, Senior Instructor, CBOE Options Institute, discusses a bullish spread in Micron (MU) ahead of earnings.

Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risks of Standardized Options. Copies are available from your broker, or at www.theocc.com. The information in this program is provided solely for general education and information purposes. No statement within the program should be construed as a recommendation to buy or sell a security or to provide investment advice. The opinions expressed in this program are solely the opinions of the participants, and do not necessarily reflect the opinions of CBOE or any of its subsidiaries or affiliates. You agree that under no circumstances will CBOE or its affiliates, or their respective directors, officers, trading permit holders, employees, and agents, be liable for any loss or damage caused by your reliance on information obtained from the program.

Copyright © 2016 Chicago Board Options Exchange, Incorporated.   All rights reserved.

This video is from CBOE and is being posted with CBOE’s permission. The views expressed in this article are solely those of the author and/or CBOE and IB is not endorsing or recommending any investment or trading discussed in the article. This material is for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by IB to buy, sell or hold such security. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.


14706




Macro

Fitch Warns of First Chinese Local Government Bond Defaults


China may see its first local government bond defaults, Fitch has warned, amid concerns over the high levels of debt in the world's second largest economy.

However, the rating agency said widespread local government financing vehicle (LGFV) defaults are unlikely given that the authorities have various tools at their disposal to limit the contagion. The rating agency wrote:

The first defaults on public bonds by Chinese local government financing vehicles (LGFVs) are becoming more likely, and will probably trigger a repricing of the market, says Fitch Ratings. However, widespread LGFV defaults remain a tail-risk, given that the authorities continue to rely on local government investment - supported by LGFVs - to hit economic growth targets, and have a broad spectrum of policy tools to limit default contagion......

However, the authorities are in a position to prevent systemic defaults. In particular, the government's pervasive ownership and influence across the financial system provide other tools to limit contagion. The use of fiscal resources to bail out LGFVs would be a last resort, given recent policy efforts to break perceptions of implicit state support, but credit could be directed toward the LGFV sector if required, which would contain the risk of a market panic.

The move comes after S&P Ratings last week cut China's sovereign debt rating one notch to A plus from AA minus, its first such action since 1999, saying a long period of borrowing has increased China's economic and financial risks. S&P also lowered its long-term credit rating to A plus from AA minus on three foreign banks.

Get investing analysis that moves stocks and markets—Subscribe to Barron’s for just $1 a week.

This article is from Barron's and is being posted with Barron’s permission. The views expressed in this article are solely those of the author and/or Barron's and IB is not endorsing or recommending any investment or trading discussed in the article. This material is for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by IB to buy, sell or hold such security. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.


14705




Options

Vol 411: Largest VIX trade in listed history


CBOETV - Jamie Tyrrell, Group One Trading, discusses the largest trade in VIX listed history, a 2.1 million contract trade.

Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risks of Standardized Options. Copies are available from your broker, or at www.theocc.com. The information in this program is provided solely for general education and information purposes. No statement within the program should be construed as a recommendation to buy or sell a security or to provide investment advice. The opinions expressed in this program are solely the opinions of the participants, and do not necessarily reflect the opinions of CBOE or any of its subsidiaries or affiliates. You agree that under no circumstances will CBOE or its affiliates, or their respective directors, officers, trading permit holders, employees, and agents, be liable for any loss or damage caused by your reliance on information obtained from the program.

Copyright © 2016 Chicago Board Options Exchange, Incorporated.   All rights reserved.

This video is from CBOE and is being posted with CBOE’s permission. The views expressed in this article are solely those of the author and/or CBOE and IB is not endorsing or recommending any investment or trading discussed in the article. This material is for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by IB to buy, sell or hold such security. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.


14703




Stocks

The Hammerstone Report - Early Look


Stock futures are little changed after major U.S. averages closed down slightly on Monday, though the tech heavy Nasdaq Composite underperformed, led by a decline in Internet and semiconductor stocks, while Apple shares fell a 4th straight session. Energy was among the biggest gainers on Monday, as oil prices jumped a 4th straight session with Brent prices closing at more than 2-year highs. A fresh flare up in tensions between the U.S. and North Korea kept markets in check. North Korean foreign minister Ri Yong Ho, speaking in New York on Monday, described President Donald Trump’s recent comments about North Korea as “clearly a declaration of war,” and said Pyongyang has the right to shoot down U.S. bombers. The main indexes added to losses immediately after the foreign minister’s comments. This morning, oil prices are paring recent gains while defensive assets such as gold are paring their gains from yesterday. The euro extended its fall against the dollar to a one-month low, after its worst day of the year. In Asian markets, The Nikkei Index fell -67 points to settle at 20,330, the Shanghai Index gained 2 points to close at 3,343 and the Hang Seng Index rose 12 points to settle at 27,513. In Europe, the German DAX is up around 25 points at 12,620, while the FTSE 100 is flat around 7,300.

Market Closing Prices Yesterday

  • The S&P 500 Index dropped -5.56 points, or 0.22%, to 2,496.66
  • The Dow Jones Industrial Average fell -53.50 points, or 0.24%, t0 22,296.09
  • The Nasdaq Composite plunged -56.33 points, or 0.88%, to 6,370.59
  • The Russell 2000 Index advanced 1.18 points, or 0.08% to 1,451.96

Events Calendar for Today

  • 7:45 AM EST       ICSC Weekly Retail Sales
  • 8:55 AM EST       Johnson/Redbook Weekly Sales
  • 9:00 AM EST       S&P CoreLogic’s 20-City Month Index MoM for July…est. 0.2%
  • 10:00 AM EST     New Home Sales MoM for August…est. 585K
  • 10:00 AM EST     Consumer Confidence for September…est. 120.0
  • 10:00 AMEST      Richmond Fed Index for September…est. 13
  • 12:00 PM EST     Fed’s Yellen delivers keynote at NABE Conference
  • 12:30 PM EST     Fed’s Bostic speaks to the Atlanta Press club
  • 4:30 PM EST        API Weekly Inventory Data

 

Earnings Calendar:

  • Earnings Before the Open: DRI, FDS, INFO
  • Earnings After the Close: CTAS, LNDC, MU, NKE

 

World News

  • Federal Reserve Bank of Minneapolis President Neel Kashkari reiterated Monday that he believes raising rates right now is a bad idea. “The Fed should be under no pressure to raise rates. We have time to let inflation climb back to target,” Kashkari said. Kashkari spoke during an appearance at the University of North Dakota
  • At least six top advisers to President Donald Trump have used private email to discuss White House matters, the New York Times reported Monday. In addition to Trump's son-in-law, Jared Kushner, the list includes former top aides Steve Bannon and Reince Priebus
  • A last-ditch Republican effort to replace Obamacare would cut federal deficits by $133 billion over 10 years but reduce coverage for millions of Americans, according to an independent review of the proposal by the Congressional Budget Office (CBO).

The content of this post was created by the Hammerstone Group. The Hammerstone Institutional Forum, a chat-based platform for traders, provides subscribers with up-to-the-minute breaking news headlines and instant analysis that drive the market. For more information please visit www.thehammerstone.com. For more information on the stocks mentioned in the Hammerstone Recap, please contact Brian Ducey at brian@thehammerstone.com.

This article is from the Hammerstone Group and is being posted with the Hammerstone Group's permission. The views expressed in this article are solely those of the author and/or the Hammerstone Group and IB is not endorsing or recommending any investment or trading discussed in the article. This material is for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by IB to buy, sell or hold such security. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.


14704




Technical Analysis

Technical Analysis (Gold, Dollar, Oil and more) heading into Tuesday's open with Dan Gramza


Dan Gramza takes a look at some key charts heading into Tuesday's open, including gold, oil and the dollar.

 

This Daily Market Studies are presented by an unaffiliated third party and Interactive Brokers LLC does not create the content of these presentations. You should review the contents of each presentation and make your own judgment as to whether the content is appropriate for you. Interactive Brokers LLC does not provide recommendations or advice. This presentation is not an advertisement or solicitation for new customers. It is intended only as an educational presentation.

This video is from Dan Gramza and is being posted with Dan Gramza’s permission. The views expressed in this video are solely those of the author and/or Dan Gramza and IB is not endorsing or recommending any investment or trading discussed in the video. This material is for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by IB to buy, sell or hold such security. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.


14702




1 2 3 4 5 2 1152

Disclosures

We appreciate your feedback. If you have any questions or comments about IB Traders' Insight please contact ibti@ibkr.com.

The material (including articles and commentary) provided on IB Traders' Insight is offered for informational purposes only. The posted material is NOT a recommendation by Interactive Brokers (IB) that you or your clients should contract for the services of or invest with any of the independent advisors or hedge funds or others who may post on IB Traders' Insight or invest with any advisors or hedge funds. The advisors, hedge funds and other analysts who may post on IB Traders' Insight are independent of IB and IB does not make any representations or warranties concerning the past or future performance of these advisors, hedge funds and others or the accuracy of the information they provide. Interactive Brokers does not conduct a "suitability review" to make sure the trading of any advisor or hedge fund or other party is suitable for you.

Securities or other financial instruments mentioned in the material posted are not suitable for all investors. The material posted does not take into account your particular investment objectives, financial situations or needs and is not intended as a recommendation to you of any particular securities, financial instruments or strategies. Before making any investment or trade, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice. Past performance is no guarantee of future results.

Any information provided by third parties has been obtained from sources believed to be reliable and accurate; however, IB does not warrant its accuracy and assumes no responsibility for any errors or omissions.

Any information posted by employees of IB or an affiliated company is based upon information that is believed to be reliable. However, neither IB nor its affiliates warrant its completeness, accuracy or adequacy. IB does not make any representations or warranties concerning the past or future performance of any financial instrument. By posting material on IB Traders' Insight, IB is not representing that any particular financial instrument or trading strategy is appropriate for you.