Notice how US Steel (X 91.95) got hit today; but rebounded to close up? Look at all the metals- they trade as a group. Today Wall St. was sweating a recession for a few hours; tomorrow it will be something new.
So they sell oil off in the futures pit because no-one going to drive a car again, hit the bids in the cyclicals, and chase the financials on a Fed ease or bailout of housing by the GSE's FNM or FRE. They can't make up their minds, but X is off 40 points from it's high, or about a share of HD. That stock's getting a tender. How about X?
Who knows, but remember two months ago on June 8, when the "Russians" were rumoured to buy X? The stock traded in a range from 113.24 to 127.26, as the option writers furiously pumped the calls.
No there's huge open interest in the August puts. Is someone going to cash that, or would the option sellers like to have that premium back? They whispered stocks down last week when it helped them, could they whisper it up now that the shorts are jumpy?
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