S&P500 Technical Status
The S&P witnessed a 3sigma event yesterday that precipitated risk reversal to historical lows (difference between the price of calls and puts equally out of the money) at -21.7% making hedging with options currently mostly out of price.
Cross asset correlation among stocks is now 1 while the s&p500 vs. gold or bonds correlation remained at an elevated 50%, leaving little room for fullfilling hedging needs (beyond outright selling).
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