tag:blogger.com,1999:blog-897456774486153841.post6613855557072816246..comments2024-03-18T03:31:52.739-07:00Comments on VIX and More: Two Interesting Perspectives on the VIXBill Lubyhttp://www.blogger.com/profile/01241003017364820134noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-897456774486153841.post-33779515789934238782007-08-09T10:35:00.000-07:002007-08-09T10:35:00.000-07:00If you want the "this is worse than LTCM" perspect...If you want the "this is worse than LTCM" perspective try Nouriel Roubini's <A HREF="http://www.rgemonitor.com/blog/roubini/209779" REL="nofollow">Worse than LTCM: Not Just a Liquidity Crisis; Rather a Credit Crisis and Crunch</A>Bill Lubyhttps://www.blogger.com/profile/01241003017364820134noreply@blogger.comtag:blogger.com,1999:blog-897456774486153841.post-45723351771801005982007-08-09T10:15:00.000-07:002007-08-09T10:15:00.000-07:00Anon,A couple of comments:1. Yes I am net long th...Anon,<BR/><BR/>A couple of comments:<BR/>1. Yes I am net long the markets and short volatility, but I certainly welcome all points of view<BR/>2. There are not many perspectives on the VIX in writing out there at the moment, but if someone puts together a cogent argument about why the VIX should be in the 30s or starts buying Sept 35 calls in bulk, I'll mention it as soon as I see it<BR/>3. I agree that there could be more cockroaches and bigger ones at that which could damage not only the markets, but some of the key underlying institutions...yet I think the VIX reflects a greater fear than sum of the probabilities applied to the various possible outcomes<BR/>4. No LCTM-type bailout appears to be needed at this stage<BR/>5. The market overshot to the downside some 14 months ago and I think the same thing is happening again<BR/>6. I'll be a lot more worried if/when the XBD breaks below 208<BR/><BR/>Cheers and good trading,<BR/><BR/>-BillBill Lubyhttps://www.blogger.com/profile/01241003017364820134noreply@blogger.comtag:blogger.com,1999:blog-897456774486153841.post-18100936047768583622007-08-09T10:04:00.000-07:002007-08-09T10:04:00.000-07:00You biased now as you are long so you try to look...You biased now as you are long so you try to look for sources that support your point<BR/>Although you're wrong here. Financial markets are in deep trouble now<BR/>Central banks don't understand what to do and outcome to the current crisis is not clearAnonymousnoreply@blogger.com