Equity Indexes
U.S. stocks have been volatile so far this week, with a sharp selloff of 1.04% on Monday tied to tariff and AI worries, followed by a tentative intraday rebound attempt on Tuesday. Near midday on Wednesday the S&P 500 is up 0.72% on the day and 0.45% for the week.
S&P 500 RiskDex had been visiting very elevated levels early this week; it closed above 7.00 on both Monday and Tuesday but is falling today.
The Nasdaq-100 is up 1.09% for the week as AI and technology names lead the way higher.
S&P 500 volatility is generally lower for the week in sympathy with the rally in the equity indexes however the S&P 500 30-day CallDex is up 13.84% for the week as traders recognize CallDex was at historically low levels providing and opportunity for low cost, defined risk strategies to participate in a rally.
Nasdaq-100 volatility is similarly lower although CallDex is higher.
Equities
The equities we cover are mixed so far this week with AMD, AAPL, and NVDA leading the way higher.
Last Wednesday we pointed out that, "The AI-focused names that have been under pressure are seeing VolDex ease as these stocks rally" and that continues with VolDex lower for the week in AMZN, AAPL, GOOGL, MSFT, and META.
NVDA VolDex is up slightly as the chipmaker is due to report earnings after the close today.
Trade Illustration
With S&P 500 RiskDex still above 6.00, put spread risk reversals remain interesting as they did last week.
You can learn more about RiskDex at Learn More About RiskDex.
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