Trade is an inappropriate word. As I shared in an earlier post, we are exchanging things that we own, but making bets on value that we can claim sometime in the future. We trade our expectations on growth. Continue reading Trade is an inappropriate word…
As of 8:39 am, at a strike price of 1.0875, the monthly call options for the EUR/USD were out of the money given the market price of 1.074. Call options on the underlying EUR/USD futures were also out of the money with futures on the currency pair quoted at 1.07655. The opposite holds for owners of … Continue reading At 8:39 am, are EUR/USD FX options out of the money?
The takeaway: Underwrite the political management company that understands yield… A very simple model of the needs of the State includes sustenance from bond yields, rents, and commodity prices. The Executive executes State power. The Congress codifies State power. The Judiciary clarifies State power. To maximize the yields acquired by the State, these powers should … Continue reading The political party that wins the franchise on government should always think about yield.
Lawyers Write the Bets. Bankers Sell the Bets. 