Markets finally see rebound - chance to hedge with put warrants given continued uncertainty?
🔃This morning, Asian indices led by South Korea's KOSPI Index and the Nikkei225 have rebounded strongly, fuelled by overnight data that showed the US service economy expanding at its fastest pace since mid-2022
✳✴The $Nikkei 225 Index(N225.JP)$ futures is trading 4% higher to 56,530 as of 910AM, leading trending Nikkei225 call warrant $NKY 59000MBeCW260612(V3XW.SI)$ (https://warrants.com.sg/tools/livematrix/V3XW) to trade 21.8% higher to $0.134 and trending put warrant $NKY 47000MBePW260612(FRDW.SI)$ (https://warrants.com.sg/tools/livematrix/FRDW) to fall 14.4% to $0.077
🇨🇳In other updates, China's National People's Congress set its 2026 gross domestic product target at 4.5%-5%, the least ambitious expansion target since 1991. China set its 2026 CPI growth target at about 2%. Premiere Li Qiang is expected to officially announce the new growth target this morning
🇭🇰The $Hang Seng Index - main 2603(HSImain)$ futures index has opened 1.8% higher to 25,575 as of 915AM
🇸🇬Singapore's SIMSCI with its 1.3% increase to 438.85 as of 915AM, pales comparatively in performance to the major Asian indices this morning
🧐For today's rebound to sustain, investors will need greater clarity on the duration of the ongoing US-Israel-Iran conflict, and the extent to which it will fan inflation
🛢Crude oil continues its advance, with the West Texas Intermediate trading at USD 76.55/barrel as of 916AM
👨🦰US President Donald Trump has expressed confidence in the military campaign against Iran even as the timeline for operations remained unclear (Bloomberg)
⚔Tehran dismissed a report it had reached out to the US to negotiate an end to the conflict as “pure falsehood.” (Bloomberg)
☔Investors wishing to hedge the short-term downside given today's rebound, can consider using put warrants to do so
⚙Put warrants generally move higher in price given a downward move in the underlying share or index
🔝As an example, put warrants are amongst the top warrant gainers with returns up to 250% this week following the sharp pullback across stock and index prices
✴The full list of put warrants available over various stocks and indices can be found here: https://warrants.com.sg/tools/warrantsearch/?underlying=all&maturity=all&expiry=all&type=put&effectiveGearing=all&indicator=all&moneyness=all&issuer=MBL
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- bingoo·03-05 17:23Smart hedging with puts, mate. Rebound feels fragile though. [看跌]LikeReport