Big Beautiful Deficits

Hello All,

As the week has progressed, we saw a bit of a pick-up in volatility following the poor bond-auction results yesterday causing the indices to selloff & work-off the recent overbought conditions thus bringing conditions to a more neutral stance… because of the recent bond volatility, pressure has been exhibited on small-caps the most as IWM is the most sensitive to volatility within rates thus IWM is the worst performing of the indices on the week (-321bps) & on the other-hand, the Q’s have been more resilient & are the ‘best” performing of the indices although still sit lower by just under 150bps on the week.

About a month back, we wrote about hard assets & the structural framework behind hard assets given recent events & future outlook along with some historical perspective as well… you can check it out below for those whom may have missed.

We also published the follow up educational piece which has been highly requested and majority of the topics covered were all suggested by you all, so I hope you find good benefit.

For those who may have missed, a link to Educational Piece Part: Deux can be found here.

For those who may have missed the first educational piece, I included the range of topics covered below along with a link to the piece for those who would like to go back and read:

- General background / knowledge on all option strategies

- In-depth talk on risk / reversals & how to go about expressing / utilizing them

- Options Structuring

- When to used naked calls / puts vs. spreads

- Choosing expiration dates

- Identifying key pivots / supports / resistance zones

- General briefing on stock gaps

- What to look for in regards to fundamentals

- Implementing fundamental / macro / technicals into a trade

- Hedging

- Creating risk/reward setups

- Taking profits / managing losses

- Overall Process

- Book recommendations

A link to the first educational write-up can be found here.