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Apple, Amazon and Alphabet earnings are coming. Here’s what the stock options market is bracing for.
Published: Feb. 2, 2023 at 12:16 p.m. ET
By Tomi KilgoreFollow
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‘Straddles’ are priced for bigger-than-usual post-earnings moves as implied volatilities remain elevated.
The options market has prepared for bigger-than-usual moves in the stocks of a trio of trillion-dollar companies, the day after they report quarterly earnings results.
That’s because the implied volatility, or how much a stock can be expected to move over a certain period, of the stocks for Apple Inc. AAPL, 3.82%, Alphabet Inc. GOOGL, 7.17% and Amazon.com Inc. AMZN, 8.00% remain elevated, even as implied volatility for the S&P 500 index SPX, 1.79% has fallen to 13-month lows.
The three technology behemoths are scheduled to report earnings for their quarters through December after Thursday’s closing bell.