

This Week in Futures Options 105: Ag Volatility Back in the Spotlight
Jun 11, 2018
01:10:14
Today's CME hot seat guests are Eric Baum, Senior Commodity Trader, and John Rothstein, Chief Operating Officer at Optiver US.
Topics this week include:
- Ags
- Corn
- Soybeans
- Equities/RVX
- Crude/WTI
Futures Options Feedback: Flash poll! Let's stick with our Volatility theme to round out the week. Quite simply - which product do you think has the highest 30-day implied Volatility? No cheating (or checking with your broker)! What does your gut tell you? VIX? Bitcoin? TSLA?RUSSELL2000? RUT? IWM?
- 34% - Tesla, TSLA
- 21% - VIX
- 35% - Bitcoin
- 10% - Russell 2000: E-mini, RUT
Listener questions and comments:
- Question from Toni - I've been listening to TWIFO since the launch (along with Vol Views and Advisors Option). Thanks for so many hours of listening and learning. I think I have a problem with TWIFO though because you guys are slowly luring me to the "dark side" of Ag products. But I'm not really sure where to begin because I'm a complete novice when it comes to agriculture (mostly trade spy and single name equity options). Is there one product that you feel is the friendliest or the least intimidating for beginners? Also are there any good resources out there for budding Ag options traders?
- Question from JLM54 - See a lot of talk about spreads between similar commodities (WTI/Brent spread, KC wheat / Chicago wheat). What about spreads between different commodities that may move in accordance to similar fundamentals? Is anyone tracking these relationships (WTI/Gold, Gold/10yr)? Are there any relationships you watch regularly that are outside the established intra-commodity spreads?