August 11, 2015 Market Wrap Up
August 11, 2015 Market Wrap Up
The S&P 500 was down more than 1% today. Mainly a reaction to last night’s announcement out of China. They decided to devalue their currency, which put a ton of pressure on companies that export to China. For example, shares of Apple were down nearly 5%.
We saw weakness in Gopro -9%, Apple -5%, Sunedision -13%, to name a few.
With that said, it was no surprise to see the VIX jump over 12%, closing the day at 13.71. Now, a 13.71 VIX reading is not exactly screaming panic, with that said; we would need to see further selling pressure in order to see it move higher.
On the options front, we saw bullish call buying in Fiat Chrysler Automobiles (FCAU). We also saw bearish option activity in Ally Financial (ALLY).
The energy complex was extremely weak, the United States Oil Fund (USO), was down more than 3%. For the most part, we’ve generally seen airlines perform well on this weakness.