Feb 9. Ebb and flow with Greece
Stocks slipped late in the day, causing the Dow to close below 10000. Volume was light in interest rate futures in front of this week’s auctions, with prices softer due to supply.
–The main feature early was buying of EDU 9875/9837p spreads and 9875/9850p spreads. About 30k…appears to be an exit of previous ‘sell put spreads/buy calls’ positions.
–Markets have rebounded somewhat this morning on hopes that a deal will be forthcoming for Greece. Not to be overshadowed on the global stage, Iran announced an expansion in uranium enrichment. For medical purposes. Like pot.
–On Wednesday Bernanke testifies before the House on “Unwinding Emergency Fed’l Reserve Liquidity Programs” which might spur some profit taking in interest rate contracts, coinciding as it does with the ten year auction.
