Has the Equity Market Rally Run Its Course? w/ Cem Karsan
Real Vision: Finance & Investing
00:00
The Unbalanced Market
We reduced 30 day vol hedging by 40 50% as we move to zero dt that you know nobody's talking about how much real Vega hedging has reduced. But then what happened to all the buyers of originally buyers of zero dt have now turned sellers ofzero dt because guess what that wasn't working either. So now you have a broad phenomenon where it's broadly sellers across the board that's making dealers long right which is forcing this kind of pinning but creating an unbalanced system.
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