Thursday, December 20, 2018

Delta Neutral update...12.20.18

The DN model continues to be the gift that keeps on giving as new selling pressures arise daily.
The House passed a stopgap budget that includes 5 billion for the wall but the Senate will probably kibosh it and the odds of a resultant govt shutdown Friday night are looking ominous. 
The good news is that as DN traders we really don't care...these volatility swings make us money with extremely limited risk.  What greatly surprised me is the recent blow up of supposedly savvy high profile "delta market" hedge funds.  Clearly they had a different concept of "neutral" than me.