Options trading in benchmark gauges such as the Standard & Poor’s 500 Index is growing at the fastest pace since 2007, spurred by investors seeking protection from widespread declines after the broadest rally on record.
Stocks rose, capping the best yearly gain for the Standard & Poor’s 500 Index since 1997, and Treasuries dropped as data on consumer confidence and home prices topped economists’ estimates. The yen headed for the biggest annual drop versus the dollar since 1979.
The Standard & Poor’s 500 Index rose for the week, following the worst losing streak to start a year since 2005, as optimism over economic growth and corporate earnings overshadowed a weaker-than-forecast jobs report.
Valuations in the Standard & Poor’s 500 Index increased by the most since the financial crisis last year as 460 stocks rose, more than any year since at least 1990. Neither are reasons to bet against equities now.
Sept. 13 (Bloomberg) -- Abby Joseph Cohen, a partner and strategist at Goldman Sachs Group Inc., Steven Einhorn, vice chairman of Omega Advisors Inc., Jean-Marie Eveillard, senior adviser for First Eagle Investment Management, and Tobias Levkovich, chief U.S. equity strategist at Citigroup Inc., talk about the Federal Reserve's decision to undertake a third round of quantitative easing today, the outlook for financial markets and investment strategy. Bloomberg’s Dominic Chu moderates the panel at the Bloomberg Markets 50 Summit in New York. (Source: Bloomberg)