June 20.

June 20. Fairly uneventful day yesterday, though EDZ1/EDH2 made a new low of only 5 bps.  CSFB was a huge buyer of 40k EDH2 9875/9900p spd for 2 and 2.5, adding to position, now long at least 70k.

–In the US, Existing Home Sales today and FOMC meeting starts with result tomorrow. Bigger news will be Greek vote of confidence on Papandreou’s gov’t.

–I just happened across this line: “Solon [Athens, 594 B.C.] called his plan “seisachtheia”, literally “shaking off burdens” which sounds curiously like some much more recent political slogans.  And the means he adopted for putting seisachtheia into effect have likewise a familiar sound,  He reduced the value of the currency and cancelled agrarian debts.” This is from a book from 1954, The Art of Contrary Thinking.  I looked up “seisachtheia” on Wikipedia which gives a fuller description adding, “It forbade the use of personal freedom as collateral in all future debts.”  Are we not looking at the same phenomenon 2600 years later?  (I’m sure someone has seen a reference to this word as it relates to current european problems.  But I personally hadn’t seen it at all).

http://en.wikipedia.org/wiki/Seisachtheia

–Just a note about declining open interest in first four ED contracts at CME…at least some part of that could be due to migration to NYSE-Liffe which has OI of about 200k total in first 4… –AAPL with $300B market cap had a technical breakdown, made new low for this calendar year.  LNKD which had traded over 120 at IPO, closed at 63.71. So much for tech IPO’s as a sign of market strength.

–Zero Hedge has a note about a surge in overnight SHIBOR.  Worth watching as another warning about further slowing in China.

Posted on June 20, 2011 at 12:06 pm by alexmanzara · Permalink
In: Eurodollar Options

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