Here Are The Remaining Risks And Here’s What Jerome Powell Can Do In A Crisis

Needless to say, it’s probably prudent to reserve judgement on whether we’re out of the proverbial woods…


The Moon Shot.


What Caused Japan’s Mini-Volatility Shock?

All’s well that ends well in Japan after a six-day slide. Or maybe not.

‘Wolves’: Albert Edwards Returns To Outline The ‘Nightmare Scenario’

“It could happen tomorrow given the extreme expense of US equities and the near universal consensus of a continued acceleration in the economic cycle despite the Fed also in the midst of a tightening cycle.”

Chuck Norris Goes Long Volatility

“…people think that even Chuck Norris can’t make money buying vol.”


But not like Beldar.

Searching For Gandalf: Traders Weigh In On Thursday’s ‘Kolanovic Moment’

“Is this really sensible?!”…

Is Risk Parity Deleveraging The Biggest Risk To Markets?

“However, relative to CTAs there is much less transparency on the total size of assets in risk parity and equity vol control strategies let alone the subset of which is completely rules-based.”

SocGen Warns On Tech, Momentum: “When It’s Time To Hit The Door, You Better Move Fast”

“The sell-offs themselves are not particularly unusual, but the uniformity of the prices moves all on the same day indicates a market driven by price chasing momentum, with investors heading for the door all at the same time.”

One Chart Shows Why Emerging Markets Haven’t Cracked (Yet)

Any questions?

This Is A Disaster Waiting To Happen

So last week, I put you on “contagion alert” amid the chaos in commodities. I’m not entirely sure why, but it doesn’t seem like people generally appreciate the extent to which collapsing metals, plunging crude, and China squeezing leverage out of the system is a really – really – bad combination of factors when it’s bumping…

Here’s One More Reason To Believe China’s Currency Will Continue To Plunge

Despite the Politburo’s best efforts (which now include the imposition of what amount to new capital controls), capital continues to flow out of China. Put simply: all signs point to further RMB depreciation and no one wants to stick around to see how low the yuan will ultimately go before the PBoC finally throws in the towel…

Final Curtain? Full Week Ahead Preview

Is this it?

The Psychedelic Swan Moment And Retail’s Volatility Addiction

…that was a 23-standard deviation event. I’m not sure what color swan that is – maybe psychedelic?

Seth Golden Doubles Down After XIV Blowup, Bets $600,000 VIX Will Fall

“I was up until the wee hours, checking my phone to see where VIX futures were trading.”