The session was broadly calm despite the expiration of a very large volume of options. No major market event disrupted trading, and realized movement remained limited.
The far upside wing of the volatility curve moved during the day but eased somewhat into the close. Overall, this was a fairly standard low-stress session.
Strategy profit was modestly below its usual daily level because hedging costs were unusually high. Protection had been increased ahead of Friday’s expiration due to the risk of a larger market move. That move did not occur, so the additional hedge reduced the final result.
Editor’s Note reflects the author’s market perspective at the time of publication and should be read as commentary, not investment advice.
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