The risk appetite/risk aversion sentiment which seems to oscillate on a day-to-day basis has at times put all asset classes into one camp or the other. As I like looking at multiple components to assess the future price direction of the market, the rich implied volatily pricing behind the S and P ... Read more

So no sooner do I say the VIX will stay heavy for a couple weeks, lo and behold it explodes. Not sure I said that exactly, but let me clarify the point. The VIX will likely understate "real" implied volatility for the next couple weeks. Remember the VIX is a statistical calculation desig ... Read more

The first Monday of the New Year saw a late Christmas gift for dollar bulls as the EUR/USD came under pressure early and often. EUR/AUD (highlighted as a short trade in our 2009 Preview) took a 600 pip haircut. This coincided with a nice sell off in the long end of the curve a ... Read more