How To Read High #1 to High #2 Looking at the E-mini S&P 500 future, from High #1 to High #2, the futures contract made higher highs, which is usually viewed as bullish. However, the MACD moving average failed to make a new high. This bearish divergence acted as an early warning s...
Schwab Municipal Bond ETF 1. Operating expense ratio is the fee charged by a fund to pay for operations and fund management. 2. In a sampling strategy, the ETF holds a sampling of securities from the underlying index as opposed to a replication strategy, where the ETF generally holds all...
The aim of this paper is to compare various methods which extract a Risk Neutral Density (RND) out of PIBOR as well as of Notional interest rate futures options and to investigate how traders reacted to a political event. We first focus on 5 dates surrounding the 1997 snap election and se...
Read More Subscribe to our daily newsletter to get investing advice, rankings and stock market news. See a newsletter example. You May Also Like 9 of the Best Bond ETFs to Buy for 2025 Investing in fixed income doesn't have to be complex. These bond ETFs can do the heavy lifting. Tony...
READ: 7 Best Renewable Energy Stocks to Buy Now Advantages of Alternative Investments Alternative investments offer several advantages over traditional assets that can lead to a well-diversified portfolio. A key distinction alternative investments have is how different they are from stock and bond return...
A futures contract—an agreement to buy or sell something at a specific price at some point in the future—lets traders speculate on the direction of a range of products, from the S&P 500®index (SPX) to commodities like gold or corn. Futures can help traders manage risks and diversify ...
Rockinger, "Reading Interest Rate and Bond Futures Options' Smiles: How PIBOR and Notional Operators Appreciated the 1997 French Snap Election," June 1998.Coutant, S, Jondeau, E and Rockinger, M, 1999. "Reading interest rate and bond futures options smiles: how PIBOR and notational operators ...
the value of the T-bond will decrease. The margin account of the long futures holder will be debited to reflect the loss. At the same time, the account of the short trader will be credited the profits from the price move.
The 30-day fed funds futures' contract price is the arithmetic average of the daily effective federal funds rates during the contract month as reported by the Federal Reserve Bank of New York, subtracted from 100. So if the effective fed funds rate were to average 1.75% for a given month,...
a bondholder can sell their bonds in the open market, where the price can fluctuate. a bond’s price varies inversely with interest rates. When interest rates go up, bond prices fall to have the effect