This Week in Futures Options

TWIFO 177: HOST: MARK LONGO, THE OPTIONS INSIDER MEDIA GROUP CO-HOST: SEAN SMITH, MD OF DERIVATIVES LICENSING, FTSE RUSSELL GUEST: RICK ROSENTHAL - DIRECTOR OF BUSINESS DEVELOPMENT, FTSE RUSSELL INDICES - Cboe WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? EQUITIES TRADE WAR OPTIMISM LIFTING MARKETS, CRUSHING VOLATILITY VIX: 13.75 - UP 1.35 FROM LAST SHOW VVIX: 95.75 - UP 6.75 FROM LAST SHOW RVX: 16.75 - UNCHD FROM LAST WEEK VIX/RVX SPREAD: 3 - MUCH TIGHTER THAN LAST WEEK FUTURES OPTIONS FEEDBACK (FULL EPISODE) QUESTION FROM LIKEME: How do I create the movers and shakers report that starts the show each week. Also - can I get some burgers? COMMENT FROM INGENUOUS: I love the network and twifo is my favorite show. I tune in every week. No one else talks small cap vol let alone crude and metals vol. It's a must-listen! QUESTION FROM NICO: Why does eurodollar trade so many options? QUESTION FROM HOYLER: How far out can I trade russell 2000 options? How is liquidity beyond one year? QUESTION FROM ADAM SAM: Hello, I have been using futures options recently to stay in trades longer. My main trade is to sell the opposite of the direction that I think the future is going. So if I think it is going up I sell puts. I used to sell calls further otm as a hedge. This decreases my profit significantly when I am right. Would it be better to buy further otm puts as a hedge with same expiration date or go further in the future for hedging? Thank You for your input. QUESTION FROM DLISTER: Since atm implied volatility is structurally higher in russell 2000 does that mean I'm getting better returns for covered calls in small caps than in spy? QUESTION FROM MICHAEL SHEEN: How about some gp/usd with all the brexit nonsense going on? 5 STAR REVIEW By Rocket Labs: Great show, dynamic and educational! Greatly enjoy listening to your guys show, I am just getting into trading futures and am finding your show educational as well as entertaining! Keep up the great work :) COMMENT FROM KEANU3: I greatly appreciate your information on the dairy markets. We need more info on these marketplaces. Please continue. QUESTION FROM JACTAN: What's more volatile these days- WTI or nat gas? QUESTION FROM GLIO: What about a product complex report where you break down the most active options in each complex. So an Ags compex report then a Metals complex report and so on. QUESTION FROM BELOW: Can you provide any information on upcoming russell volatility products?

HOST: MARK LONGO, THE OPTIONS INSIDER MEDIA GROUP CO-HOST: SEAN SMITH, MD OF DERIVATIVES LICENSING, FTSE RUSSELL WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? WTI POTENTIAL TRADE WAR END GIVES LIFT TO CRUDE THE RETURN OF GLOBAL DEMAND DRIVING UP PRICES CRUDE PRODUCTION SHIFTING TO SHORTER TERM? NAT GAS Ready For NatGas' Biggest Bull Market This Year? The biggest bull market of the year in natural gas is shaping up, with huge stakes riding on an intense freeze forecast in the eastern two-thirds of the United States — the country's most-closely watched heating market. EQUITIES TRADE WAR OPTIMISM LIFTING MARKETS, CRUSHING VOLATILITY VIX 12.4 - DOWN 1 VVIX: 89 - UP 1 FROM LAST SHOW RVX: 16.70 - DOWN .7 FROM LAST WEEK VIX/RVX SPREAD - 4.3 - EVEN WIDER THAN LAST WEEK FX EURODOLLAR OPTIONS FUTURES OPTIONS FEEDBACK QUESTION FROM LLJ: What are the tickers for the russell 2000 buywrite indices? QUESTION FROM YTI97: Are the puts in rut options more bid than the similar term puts in s&p?

HOST: MARK LONGO, THE OPTIONS INSIDER MEDIA GROUP CO-HOST: SEAN SMITH, MD OF DERIVATIVES LICENSING, FTSE RUSSELL WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? RATES FED CUTS RATES FOR THIRD TIME THIS YEAR FED CUT BY A QUARTER POINT WAS EXPECTED BY THE MARKET - FEDWATCH TOOL WAS AT 95% QUESTION FROM NEIL: What is fedwatch saying now about cut in Dec? QUESTION FROM NTILL: Did you guy see the recent issue with eurodollar quotes? Maybe this is what's driving some of the volume in the options lately? RE: THIS STORY - Futures Exchange Reins In Runaway Trading Algorithms EQUITIES DOUBTS ON THE TRADE DEAL SPOOK THE MARKET IN THE WAKE OF FED DECISION VIX 13.35 - UP .35 VVIX: 86.5- UNCHD FROM LAST SHOW VXX: 19.95 - NEARLY UNCHD FROM LAST SHOW RVX: 17.40 - DOWN .3 FROM LAST WEEK VIX/RVX SPREAD - 4.05 - SLIGHTLY WIDER THAN LAST WEEK WTI Oil falls 1% as US inventory rises NAT GAS Natural Gas Experts: 'Follow The Money, Forget The Cold' METALS Gold futures climb above $1,500 to log highest finish in 5 weeks FUTURES OPTIONS FEEDBACK QUESTION FROM JAKE: Why do products like dairy and iron ore that move quite a bit have such light or nonexistent options volume? QUESTION FROM LILEANTHAL: What's the answer as to why weekly WTI options don't trade? QUESTION FROM BEAMS: I think the long-term russell 2000 put trader is a seller taking advantage of inflated put skew to generate higher premiums than comparable spy strikes. Thoughts? QUESITON FROM ELTIM: Do you buy that metals only selloff when the calls are bid?

TWIFO 174: Dairy Action And Mysterious Metals Skew HOST: MARK LONGO, THE OPTIONS INSIDER MEDIA GROUP CME HOT SEAT GUEST: RUSSELL RHOADS, TABB GROUP WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? DAIRY MARKET ? EQUITIES MARKET BACK IN RALLY MODE. VIX: 13.8 - DOWN .5PTS FROM LAST SHOW VVIX: 86.5- DOWN 3 FROM LAST SHOW VXX: 20.6 - DOWN .2 FROM LAST SHOW RVX: 17.68 - ALMOST UNCHD FROM LAST WEEK VIX/RVX SPREAD: 3.9 - SLIGHTLY WIDER THAN LAST WEEK CRUDE OIL ? METALS Gold and Silver Options Pointing to a Pullback? by Erik Norland CRYPTO ? FUTURES OPTIONS FEEDBACK QUESTION FROM TIM: Can we get some FX heading into Brexit? QUESTION FROM NILES: What is fedwatch telling us ahead of fomc? Any surprises? QUESTION FROM TLLET: Does a high call skew always mean rally ahead?

HOST: MARK LONGO, THE OPTIONS INSIDER MEDIA GROUP CME HOT SEAT GUEST: SEAN SMITH, MD OF DERIVATIVES LICENSING, FTSE RUSSELL WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? RATES Eurodollar EQUITIES MARKET BACK IN RALLY MODE. VIX 13.90 - DOWN 1.1PTS FROM LAST SHOW VVIX: 92.5- DOWN 3.5 FROM LAST SHOW RVX: 17.75 - DOWN 4.15 FROM LAST WEEK VIX/RVX SPREAD - 3.8 - NEARLY A POINT WIDER THAN LAST WEEK NAT GAS AGS Wheat Oats Corn CRYPTO FUTURES OPTIONS FEEDBACK QUESTION FROM TWENTY9: Why is physically deliverable crypto such a big deal? QUESTION FROM DWITE: Have you guys talked about iron ore on the show? If not can you add it to the rotation since it's moving. Thanks so much. QUESTION FROM CHUCK MENDEZ: Why do you think there's so much downside put paper in russell 2000? QUESTION FROM ELE5: Why are there no more rvx options?

HOST: Mark Longo, The Options Insider Media Group CME HOT SEAT GUEST: ANDREW GIOVINAZZI, THE OPTION PIT WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? Seven Themes to Ponder as We Head for 2020 by Bluford Putnam RATES EQUITIES MARKET BACK IN RALLY MODE. VIX BACK OVER A 20 HANDLE ON TUES - HIGH OF 20.30 on WEDS. VIX 18 - UP 1 PT FROM LAST SHOW VVIX: 100- UP 3.5 FROM LAST SHOW RVX: 21.90 - UNCHD FROM LAST WEEK VIX/RVX SPREAD - 2.9 - MUCH TIGHTER THAN LAST WEEK NAT GAS Natural-Gas Producers Hard Hit by Tanking Prices METALS Is Gold About to Outperform Equities? By Erik Norland October 1, 2019 FUTURES OPTIONS FEEDBACK QUESTION FROM Barrett Wade @BarrettWade3 - Hey there. Do you guys have a rule of thumb to keep from overpaying for an option? QUESTION FROM TOMLIAM: Are commodity names where the call skew is very high good candidates for covered call writing?

HOST: Mark Longo, The Options Insider Media Group CO-HOST: Sean Smith, MD - Derivatives Licensing, FTSE Russell CME HOT SEAT GUEST: Derek Sammann, Senior Managing Director, Global Head of Commodities & Options Products at CME Group WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? EQUITIES VIX BACK OVER A 20 HANDLE ON WEDS. HIGH OF 21.40 on WEDS. VIX 19.5 - UP 3. FROM LAST SHOW VVIX: 100 - UP 1 FROM LAST SHOW VXX: 26 - UP 2.3 FROM LAST SHOW RVX: 21.90 - UP .9 PTS FROM LAST WEEK VIX/RVX SPREAD - 2.4 - MUCH TIGHTER THAN LAST WEEK SEAN - ANY INTERESTING RUSSELL DEVELOPMENTS/STUDIES? RUSSELL 2000 FOCUS PANEL - ANY TAKEAWAYS ANY INTEREST FROM EUROPEAN CLIENTELE ON U.S. SMALLCAP STOCKS? SOME INTERESTING NUGGETS FROM CBOE ON RVX Research by Blu Putnam - Seven Themes to Ponder as We Head for 2020 CRUDE Rogue Oil Trader Causes $320 Million Loss at Mitsubishi Corp. Unit METALS Research by Erik Norland - Is Gold About to Outperform Equities? FUTURES OPTIONS FEEDBACK QUESTION FROM EL DOCTORO: It seems like when a company from the Russell1000 moves into the Russell2000, its stock price rises. True? If so, why? What happens when a stock moves the opposite way? Futures Options and STA Interview with Derek Sammann, Senior Managing Director, Global Head of Commodities & Options Products at CME Group, at the Security Traders Association Market Structure Conference in Washington DC.

HOST: Mark Longo, The Options Insider Media Group CO-HOST: Sean Smith, MD - Derivatives Licensing, FTSE Russell CME HOT SEAT GUEST: Tim McCourt, MD - GLOBAL HEAD OF EQUITY PRODUCTS, CME Group WHAT WERE THE MOVERS AND SHAKERS IN FUTURES OPTIONS THIS WEEK? EQUITIES IMPEACHMENT VOL PREMIUM IS IN THE AIR. VIX 16.85 - UP 1.7 FROM LAST SHOW VVIX: 101.5 - UP 1 FROM LAST SHOW RVX: 21 - UP 2.3 PTS FROM LAST WEEK VIX/RVX SPREAD - 4.15 - MUCH TIGHTER THAN LAST WEEK SEAN - ANY INTERESTING RUSSELL DEVELOPMENTS/STUDIES FROM RMC? RUSSELL 2000 FOCUS PANEL - ANY TAKEAWAYS ANY INTEREST FROM EUROPEAN CLIENTELE ON U.S. SMALLCAP STOCKS? ANY INTEREST IN RVX FROM EUROPE? THE RETURN OF CRYPTO Recorded interview with Tim McCourt - CME Group

HOST: MARK LONGO, OPTIONS INSIDER MEDIA GROUP CME HOT SEAT GUEST: RUSSELL RHOADS, TABB GROUP WHAT WERE THE TOP 10 CME OPTIONS ON FUTURES YEAR TO DATE/AUGUST? CRUDE OIL A historic week for crude oil! IRANIAN STRIKES DESTROYED A SUBSTANTIAL AMOUNT OF SAUDI PRODUCTION - APPROX 5% OF GLOBAL OUTPUT. AGS September Crop Report Shows Slight Yield Declines Both corn and soybean production down. EQUITIES MARKETS RECOVERED FROM SAUDI OIL ATTACK - SPOOKED BY THE FED THOUGH VIX 13.35 - DOWN 1.5 FROM LAST SHOW VVIX: 96.6 - DOWN 4 FROM LAST SHOW VXX: 21.8 - DOWN 1.6 FROM LAST SHOW RVX: 18.70 - UNCHD FROM LAST WEEK VIX/RVX SPREAD - 5.4 - EVEN WIDER THAN LAST WEEK BIG RUSSELL 2000 PRINT THIS WEEK - WEEK 3 NOV 1500 PUTS METALS Will the Fed decision lift gold? FUTURES OPTIONS FEEDBACK QUESTION FROM RETRIBRAND: What is the most interesting cme product from a skew perspective? QUESTION FROM ELY: Checking out the OIR back catalog and came across the early episodes of TWiFO. My how the commodity landscape has changed. In those early episodes you were talking about soybeans as great candidates for collar trades. Do you foresee us getting back to that situation anytime soon? Any other products where collars might be favorable?

HOST: MARK LONGO, OPTIONS INSIDER MEDIA GROUP CO-HOST: NICK HOWARD, BANTIX TECHNOLOGIES CME HOT SEAT GUEST: ADAM WEBB, FOUNDER OF MACROHEDGED WHAT WERE THE MOVERS AND SHAKERS THIS WEEK? CRUDE OIL Oil prices fall after OPEC+ talks, ECB rate cut AGS TRUMP TWEET MOVING AG MARKETS RAN INTO A LISTENER YESTERDAY WHO ASKED FOR MORE AG OPTIONS CONTENT ON THE SHOW. SOYBEANS Ahead of trade talks, China makes biggest U.S. soybean purchases since June - traders Illinois soybean farmers fear Trump tariff damage will be permanent EQUITIES MARKETS BACK IN RALLY MODE AFTER A CRAZY WEEK VIX: 14.15 - DOWN 1.15 FROM LAST SHOW VVIX: 95.5 - UP 2.35 FROM LAST SHOW VXX: 23.4 - DOWN 1.1 POINTS FROM LAST SHOW RVX: 18.70 - DOWN 1.5 PTS FROM LAST WEEK VIX/RVX SPREAD: 4.65 - EVEN WIDER THAN LAST WEEK FUTURES OPTIONS FEEDBACK QUESTION FROM CLC: Which contract has the steepest bid for puts in the S&P emini? QUESTION FROM TENDA: Can you do some deeper dives into ag options on the program. I love this show. There's really nothing else like it. QUESTION FROM L09: Any recs for someone looking to maybe become a market maker/specialist in fut opts? Firms? Products? Any input would be appreciated. Keep up the fine work.