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Doctor Copper Needs a Collar: Why Copper’s Surge Might Not Last, and How to Hedge It
Yahoo Finance· 2025-12-16 20:03
Copper (HGH26) has a lot of smart features. But calling it a “doctor” is a bit too much for me. That’s the Wall Street slang for the commodity that is essential in industries such as construction, machinery, and electrical wiring. Copper has historically been highly correlated to the economy. Thus the nickname. It’s like it knows where things are trending. However, I’m starting to question that. More News from Barchart Today’s markets are so different from the ones that existed when Dr. Copper earned i ...
Post Fed Cut, This Popular S&P 500 ETF Is Not a Buy or Sell, But a ‘Married Put.’ How to Create One.
Yahoo Finance· 2025-12-11 14:00
Group 1 - The Federal Reserve's recent decision resulted in a minor and expected move, yet the stock market reacted positively, with the S&P 500 Index increasing by approximately 1% following the announcement [1] - The focus is shifting towards a long-term investment strategy in the S&P 500 ETF (SPY), emphasizing the importance of reliable protection rather than short-term trading [2] - There are various strategies available for investors to manage risk while capitalizing on stock market performance, with a suggestion that individual investors can implement these strategies themselves [3] Group 2 - The article discusses the concept of option collars, which involve owning shares of a stock or ETF, writing covered calls, and purchasing protective puts to manage risk [4] - A specific strategy called "Married Put" is introduced, which combines the use of put options for hedging while owning the underlying asset [4] - To hedge SPY effectively, an investor would need to own 100 shares, resulting in a significant investment of approximately $70,000 at the current price of nearly $700 per share [5] Group 3 - The strategy involves purchasing put options that are about 5% "out of the money," providing the right to sell SPY if it declines by that percentage [6] - The article outlines two distinct investment approaches: profiting from stock market gains and profiting from stock market losses [7]
Bristol-Myers Squibb: This Undervalued Dog Needs An Option Collar
Seeking Alpha· 2025-05-27 20:42
Group 1 - Bristol-Myers Squibb (BMY) has achieved top grades in Valuation, Growth, and Profitability, all standing at A+ according to Seeking Alpha's Quant team, indicating strong performance metrics for the company [1] - The article emphasizes the importance of understanding market narratives and how they can guide investment decisions, reflecting a disciplined and non-traditional approach to income investing [1] Group 2 - The author has a beneficial long position in BMY shares, indicating a personal investment interest in the company's performance [2] - The article is based on the author's own opinions and does not involve compensation from any company mentioned, ensuring an independent perspective [2]