Hedging the Wall of Worry

The video discusses the current trade concerns with China and how investors are reacting by hedging their bets. It highlights the increased demand for bearish options in US-listed China ETFs, marking the highest put volume since 2015. The video also examines the anxiety in the market, reflected in the put call ratio, despite the VIX remaining stable. This indicates significant market tension and investor caution.

What action are investors taking in response to trade concerns with China?

• Investing in technology stocks

• Jumping into hedges

• Buying real estate

• Investing in gold

What is the significance of the current level of bearish options trading?

• It has no historical significance

• It is the same as in 2015

• It is the highest since 2015

• It is the lowest since 2015

What event in 2015 is compared to the current spike in bearish options trading?

• Brexit vote

• US presidential election

• China devaluing its currency

• Global financial crisis

What does the put-call ratio indicate about the US equities market?

• Increased optimism

• Stable market conditions

• Increased anxiety

• Decreased trading volume

Despite the market anxiety, what has remained stable?

• Oil prices

• Gold prices

• The VIX

• Interest rates