UBS has raised its price target for CBOE Holdings to $235 from $220 while maintaining a Neutral rating, following positive earnings revisions and strong performance in index options. The stock is currently trading at $209.37, close to its 52-week high, with a projected 12% year-over-year revenue growth for Q1 2025. Despite the optimistic outlook, UBS prefers CME Group for its better volume exposure and valuation.
UBS has raised its price target for CBOE Holdings to $235 from $220 while maintaining a Neutral rating, following strong first-quarter earnings estimates and increased revenue guidance. The stock is trading at $209.37, close to its 52-week high, with a notable 49.92% return over the past year, driven by market volatility and robust index options performance. Despite the positive outlook, UBS prefers CME Group for its larger volume exposure and better valuation.
JPMorgan Chase Financial Company LLC has launched Inverse VIX Short-Term Futures ETNs on NYSE Arca under the ticker VYLD, designed to track the inverse daily returns of the S&P 500 VIX Short-Term Futures Index. These ETNs, redeemable at the issuer's discretion post-March 21, 2025, come with a maturity date of March 22, 2045, and a daily investor fee of 0.85%. Investors should be aware of the associated risks, including credit risk from JPMorgan as the issuer and guarantor, and the ETNs do not represent a direct long or short position in the underlying index or VIX futures contracts.
trump administration faces risks as stock market reaches new highs
The new Trump administration is prioritizing mass deportations and potential trade wars, raising concerns about inflation as bond traders adjust their expectations. Despite these risks, the S&P 500 Index continues to set records, with the Russell 2000 Index showing remarkable growth, indicating a bullish market sentiment. The Cboe Volatility Index reflects a calm among traders, suggesting confidence in the current economic climate.
tock volatility hits five year low amid global tensions and market surge
In 2024, stock volatility has reached its lowest levels in five years, with the Cboe Volatility Index averaging 15.5 points, reminiscent of pre-Covid calm. Despite global tensions, the S&P 500 Index has surged over 25%, achieving 51 all-time highs, while equity markets worldwide have generally risen.
wall street embraces bitcoin with new trading options and record inflows
Wall Street is transforming bitcoin trading with new financial products, including spot bitcoin ETFs and options, enhancing liquidity and allowing for leveraged bets. The U.S. spot bitcoin funds have amassed over $100 billion, with record inflows following interest rate cuts. As trading activity surges, investor confidence in bitcoin's long-term growth potential is evident, despite the market's inherent volatility.
Options traders are unwinding bullish positions in US stocks due to concerns over slower interest-rate cuts, which have stalled the stock rally. Notably, puts on the Cboe Volatility Index were purchased, anticipating reduced volatility as uncertainty from the presidential election diminished. These puts were profitable when the VIX fell below 14, despite initial drops in option costs.
nasdaq and cboe challenge sec over new stock trading rule
Nasdaq Inc. and Cboe Global Markets Inc. have filed a legal challenge against a new rule from the US Securities and Exchange Commission that alters the economic framework for stock trading. The exchanges are seeking a review of the finalized national market structure regulation, known as Reg-NMS, through a petition submitted to a Washington appeals court.
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