After the best post-election week since FDR, US equity futures are extending gains in the early Asia trading session…
Nasdaq is now up over 10% from the close the previous Friday…
But, as the chart shows above, JPMorgan warns that the last time this pushed Tech lower after activity died down, underperforming RTY & SPX in September.
Given the move in NDX spot, JPMorgan says that a lot of the call spread buyers in early Oct are not back in play. It matters for price as the gamma produced is meaningful. Additionally, JPMorgan’s desk has seen upside buyers of IWM/RTY… Read more…..
Chart of the Day
Financial analyst Gary Shilling says the stock market could be set for a big pullback similar to the decline in the 1930s during the Great Depression. He explains how the coronavirus pandemic will result in long-term structural changes in the economy.