Overnight action saw the release of Manufacturing PMI readings from several major economies with Germany reporting an slight uptick in May to 54.6 from 54.6 points, while China's Caixin Manufacturing PMI (48.1 vs 46 previously) remained in contractionary territory for the third month in a row.
Shanghai's lockdown reportedly ended today, while oil is trading at an unchanged level compared to yesterday, and US yields at the short (2Y +2.2 bps) and the long end (10Y +2.5 bps) increase modestly.
Implied dealer gamma amounts to -317MM currently and futures remain stuck in "no man's gamma land" between two major gamma strikes (4000 and 4200).
Above 4250 dealers would get long gamma and provide much needed liquidity, below that level high volatility should be expected, especially when we get closer to strikes with larger gamma amounts.
Shanghai's lockdown reportedly ended today, while oil is trading at an unchanged level compared to yesterday, and US yields at the short (2Y +2.2 bps) and the long end (10Y +2.5 bps) increase modestly.
Implied dealer gamma amounts to -317MM currently and futures remain stuck in "no man's gamma land" between two major gamma strikes (4000 and 4200).
Above 4250 dealers would get long gamma and provide much needed liquidity, below that level high volatility should be expected, especially when we get closer to strikes with larger gamma amounts.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.