One Investor Is Buying Options Protection on the S&P 500

The video features Greg Caldarone from Bloomberg News discussing recent market activities, including a significant put option purchase on the S&P 500, indicating a bearish outlook. The conversation highlights the potential 10% downside target and its implications. Additionally, the financial sector is analyzed, focusing on a put spread strategy targeting a 5-5.5% downside, with concerns about Elizabeth Warren's polling impact on financials.

What was the investor's strategy in response to the weak ISM print?

• Investing in bonds

• Purchasing put options on the S&P 500

• Selling futures contracts

• Buying call options on the S&P 500

What percentage downside is the S&P 500 trade targeting?

• 20%

• 5%

• 10%

• 15%

What recent market movement was observed before the analysis of the S&P 500's downside?

• A 5% increase

• A 1% decline

• A 50 basis points rally

• A 2% drop

What type of trade was observed in the financial sector?

• A put spread

• A futures contract

• A call spread

• A bond purchase

What was the concern related to the financial sector trade?

• Increasing inflation

• Decreasing oil prices

• Rising interest rates

• Elizabeth Warren's improved polling