FOMC
Chairman Powell is about to speak in an hour, and it seems like they have decided to continue down the path of shock and awe, probably raising rates anywhere from 25 to 50 bps. How long will this aggression last is anyone’s guess, but it can’t be much longer. In his latest piece, renowned Credit Suisse analyst Zoltan Pozsar postulated Central Bankers will be back on that sweet QE by summer ‘23. Meaning we are thinking about front-running Jay early ‘23 (unless things change drastically.) NFA
10 YR hit 3%. (Someone in the bond market is feeling it.)
$BTC catching almost a 3% move today.
$NQ and $SPX are both down.
Options
Skew is still heavily to the downside for end of May/June.
FOMC has made Option traders nervous. It would seem they are expecting volatility in the near term. Volatility, while still low, has climbed back up into the 60s, up almost 8 pts since the beginning of May. (Chart 2)
Block Trades
Gamma guys are taking advantage of the spike in volatility and selling short-dated 40k calls post FOMC on Paradigm.
Random Chart
Axie Infinity daily revenues for your consideration. We will be writing something soon on the rise and fall of Axie, what’s coming, and what some of the larger guilds are saying.
Quick Three
VanEck to launch NFT’s
“We’re not launching an NFT to monetize followers or list it on OpenSea,” Lee said. “We’re trying to build an active community of crypto-focused investors.”
…lolz
Pantera raises 1.3B for new blockchain fund
"Thanks to inflation, $1 billion doesn't go as far as it used to, especially in a crypto economy where $100 million raises occur with yawning regularity. Better, then, to collect $1.3 billion and keep going for more.”
Joe McCann targeting 1B raise for new fund
”Joe McCann — previously of Passport and Microsoft — has secured commitments from the likes of Marc Andreessen and Solana’s Anatoly Yakovenko.”
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DISCLAIMER:
None of this is financial advice. This newsletter is strictly educational