Will Cunliffe
Research Analyst, The Officials
Keep your options open
Prices continue to get hammered, Russia is feeling the heat and the US economy cannot afford another economic catastrophe.
Prices continue to get hammered, Russia is feeling the heat and the US economy cannot afford another economic catastrophe.
Sub-$80 Brent is a scary place! Those keeping an eye on the options market told The Officials there is a large volume of negative gamma in the 70s, which could trigger selling of futures to re-hedge positions. However, one source reassured us that it’s unlikely to cause a meltdown as hedging is done daily, rather than waiting for the option strike to be hit...Having announced the opening of the Strait of Hormuz – toll free! – Trump’s mind is already on the next war. Or the first war. It was the first he pledged to end when he returned to the White House, but the Russia-Ukraine war is dragging on. He said soon he’ll pursue more sanctions on Russia and the get out of jail free cards for Russian oil will no longer be coming out.
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