Another nice consolidation day on low volume.
Virtually no change with just a little disappointment as the S&P fails to retake 1,300 but the markets held up very well against hawkish Fed speak from Guynn and Moskow.
This killed our builders just when they were gathering steam and threw my DDs under a bus - hopefully we can get back to normal tomorrow.
Today we answered the question as to whether a butterfly flapping its wings in Africa can affect the price of oil in the US as oil traders went wild over the naming of an African storm gave them hope that another US city could be wiped out (Yipee!). The fact that there is less than a 10% chance that this storm will track to the Gulf seems to matter little.
Gold was not as excited about the storm but traders there still cling to the fading promise of Jihad after the Imam pulled a no-show this morning. Keep those scimitars sharpened though, as we can debate the exact date for a while now but I am very happy with the way this is progressing so far.
We said it wasn't a good day to play the markets and it wasn't, with low volumes and lethargic action eroding a lot of premium out of options. There were many false starts and reversals and the only play I really liked was taking our oil puts this afternoon.
WY exploded today and I was so surprised I sold half for $1.80 (up 100%) as we only picked it on Sunday so it seemed like too much, too soon. The $60s finished the day at $1.95 after bumping up against the 5% rule on the initial run.
NEM $50 puts turned against us to finish at .55 (down .10).
Hopefully I picked to bottom on GOOG at $375.
SU $80 puts came in at $1.90 but oil is hanging on tough in a scary way.
Initiated NDAQ $30s for .85 and they quickly dropped to .70.