One Year Anniversary of the Market Bottom — What Could Go Wrong?

Published on
March 23rd, 2021
Duration
24 minutes

Lyn Alden on Gold, Real Bond Yields, and the Treasury’s Bloated War Chest


One Year Anniversary of the Market Bottom — What Could Go Wrong?

Daily Briefing ·
Featuring Lily Francus and Ash Bennington

Published on: March 23rd, 2021 • Duration: 24 minutes

Lily Francus, independent quantitative researcher, joins Real Vision senior editor Ash Bennington to share her outlook on narrative economics, the NOPE Index, and the dangers of beta. On the one-year anniversary of the bottom in the S&P 500, Francus notes that this current market environment is marked by a great deal of short covering and portfolio rebalancing, which drive the “rotation” trade away from growth into value that has been playing out. Francus explains how the surge of retail traders (or “low-information traders”) has driven flows and exerted a serious influence, particularly in the sky-high volume of options contracts. Francus connects this to her theory on NOPE (“net options pricing effect”) before sharing with Bennington her advice to traders in this choppy market.

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