| February 02, 2024 | | | | | Jeff Bergstrom
Editor
John Lothian News | |
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| | | | Observations & Insight | | | Cboe Global Markets released its fourth quarter results and reported that it achieved remarkable results, with a 33 percent increase in diluted EPS to $1.98. The full year was even more impressive, as it saw a 226 percent surge in diluted EPS to $7.13. Adjusted diluted EPS for the quarter and full year increased by 14 percent and 13 percent, respectively. Cboe also reported record net revenue for both the quarter, at $499.0 million (up 9 percent), and the full year, at $1.9 billion (up 10 percent). Looking ahead to 2024, the company aims for organic total net revenue growth of 5 to 7 percent, with Data and Access Solutions targeting 7 to 10 percent growth. To support these goals, Cboe has set an adjusted operating expense guidance range of $798 to $808 million, emphasizing its commitment to long-term revenue and earnings growth through continued investment. ~JJL
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OCC Reports January 2024 Monthly Volume Data
OCC
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Futures Discovery: Fundamentals of Margin Calls
JohnLothianNews.com
In episode 5 of Futures Discovery, we're peeling back the layers of the ever-important world of margin calls-a topic that can shape the flow of your futures trading journey. In this episode, we're not just scratching the surface; we're delving deep into the fundamentals of margin calls. It's not just about numbers on a screen; it's about deadlines, volatility, and potential lifelines.
Watch the video »
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Long Put, Buying Put Options - Term of the Week
JohnLothianNews.com
This video explores the basics of a long put option contract.
Watch the video »
| | | | | | Lead Stories | | | Traders play defense in regional bank ETF's options as shares sink
Saqib Iqbal Ahmed and Laura Matthews - Reuters
Options volume on SPDR S&P Regional Banking ETF (KRE.P), opens new tab surged for a second straight session on Thursday, spurred by bearish trading, as a sell-off in shares of U.S. regional banks continued after trouble at New York Community Bancorp (NYCB.N), opens new tab.
KRE shares fell 2% on Thursday while NYCB slipped 8%, extending its losses from Wednesday when the stock experienced a record single-day drop of 37.6% after announcing a surprise loss and a 70% divided cut.
/jlne.ws/49hOzLd
Cboe Carrying Out Strategic Review
Shanny Basar - MarketsMedia
Fredric Tomczyk, chief executive of Cboe Global Markets, said the group is carrying out a strategic review as it reported record revenue in 2023 and record trading volumes for options.
Tomczyk said on the results call on 2 February that Cboe's outstanding results were driven by record derivatives trading volumes, growth of the data and access solutions business and disciplined expense management.
/jlne.ws/47YBYLL
Europe's Wild Gas Price Swings Hurt Industry
Priscila Azevedo Rocha and Anna Shiryaevskaya - Bloomberg
Persistent price swings in Europe's natural gas market are limiting appetite among industrial companies to ramp up fuel usage, even after the worst of the region's energy crisis has passed.
Implied volatility in benchmark Dutch gas â a measure of how expensive derivative contracts are â has subsided since the start of the year, signaling that confidence in the market is building. Still, it remains well above pre-crisis levels as price swings have become more common. With summer contracts trading higher than those for this winter, a substantial increase in industrial consumption appears to remain some way off.
/jlne.ws/4bkBBhw
What Tesla Stock Volatility Says About Tech's 'Magnificent Seven'
Gunjan Banerji - The Wall Street Journal (Video)
The 'Magnificent Seven'âAlphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Teslaâare stocks known for their skyrocketing rise in 2023. But now, Tesla's in the red after falling 25% in the last four weeks. WSJ's Gunjan Banerji explains.
/jlne.ws/42oRCyN
| | | | | | Exchanges | | | Cboe Global Markets Reports Results for Fourth Quarter 2023 and Full Year
Cboe Global Markets
Cboe Global Markets, Inc. (Cboe: CBOE) today reported financial results for the fourth quarter of 2023 and full year. "I am pleased to report that Cboe generated another year of strong revenue growth and financial results in 2023," said Fredric Tomczyk, Cboe Global Markets Chief Executive Officer. "Our Derivatives and Data and Access Solutions categories helped drive the 10% net revenue growth and 13% adjusted diluted EPS growth for the year as both strong secular and cyclical trends helped boost these business lines. In addition, we made meaningful progress on our strategic initiatives as a company and are well-positioned for 2024. This year we plan to unlock additional value from our global derivatives and securities network by leveraging our core strengths - our global footprint, superior technology and product innovation - to help drive continued strong revenue growth and financial results.
/jlne.ws/3SJHkX4
CME Group Reports Record January ADV of 25.2 Million Contracts
CME Group
Highest-ever January ADV with 16% growth year-over-year; Record January interest rate ADV of 13.1 million contracts, up 27%; Record January options ADV of 6.1 million contracts, up 26%. CME Group, the world's leading derivatives marketplace, today reported its January 2024 market statistics, reaching a new overall average daily volume (ADV) record of 25.2 million contracts for the month, up 16% from January 2023. The company's interest rate ADV saw double-digit growth, driven by its SOFR complex and U.S. Treasury futures. ADV also increased by double-digits across energy, agricultural and foreign exchange products.
/jlne.ws/3OuB2b0
| | | | | | Regulation & Enforcement | | | NYSE asks U.S. SEC to reinstate volatility curbs
Reuters
NYSE Euronext asked U.S. regulators on Friday to allow it to reintroduce rules to curb excessive trading volatility after several New York Stock Exchange-listed securities recently experienced sharp unintended drops.
/jlne.ws/49kqvXX
| | | | | | Moves | | | LME Clear management changes
London Metal Exchange
LME Clear is pleased to announce the appointments of Chris Jones as Chief Operating Officer (COO), Matt Wade as Chief Risk Officer (CRO), and Paul Kirkwood as Head of Clearing Risk. The appointments are effective immediately, with the COO and CRO roles subject to regulatory approval. Chris Jones joined LME Clear in 2013 as CRO before becoming LME Group CRO in 2017. He has deep knowledge of the LME Clear business and several decades of market and clearing experience. Chris will oversee all LME Clear operations. Matt Wade has been with LME Clear for 10 years as Head of Clearing Risk and has over 30 years of market and risk experience, making him well-placed to lead on all aspects of the LME Clear Risk function, which encompasses commercial, financial and enterprise risk. Paul Kirkwood, previously Head of Market Risk for 10 years, succeeds Matt as Head of Clearing Risk, and will oversee all first-line clearing risk functions.
/jlne.ws/3EEQs7p
| | | | | | Strategy | | | Hedge funds are making big bets on these 20 companies in a 'stock-pickers' paradise' â even though they're skeptical about the market's surge to record highs
James Faris - Business Insider
Although US stocks have been on a tear lately, professional investors aren't getting too excited. The S&P 500's rally to record highs in late January has been met with skepticism by Wall Street, according to Bank of America. That could be a reason for caution â or a sign that stocks have more room to run.
/jlne.ws/3SHXOPj
October Future
Cboe (Video)
Some things to know: historically speaking, 30-day realized volatility is currently holding near the low end, the $VIX futures term structure shifted slightly lower today, next week will have several earnings outside the tech sector that could influence the market -- all this and more in #Vol411 with Dan Deming @djd551.
/jlne.ws/3OsMT9N
| | | | | | Miscellaneous | | | 25 Largest Banks in the US by Total Deposits
Minal Zaheer - Yahoo Finance
In this article, we will take a look at the 25 largest banks in the US by total deposits. If you want to skip our discussion on the banking industry, you can go directly to the 5 Largest Banks in the US by Total Deposits.
/jlne.ws/3ub0yeL
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