Hellman’s Malaise

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The market is bored with itself. Declining cases. So what? Stimulus checks on the way? Big deal! It’s heard it all at this point. And there’s only so long that All Assets can Go Up just For The Sake of Going Up. Malaise is setting in, and it is reflected in the NQ recently.

Reality will set in at some point, folks. The fact that MicroStrategy is selling hundreds of millions of dollars of low-interest bonds in exchange for buying a fantasy like Bitcoin is going to be one of the laughingstock points of the history books. But we’ve all been busy going deeper and deeper into this rabbit hole since the year 1987, and particularly since the year 2008, that we don’t even recognize the madness anymore.

Of course, the oily teens over at WSB are learning some serious life lessons lately. After GME blew up in their face, they pushed all their chips forward on their latest hope, Palantir (which, ironically, is in the business of spying in the same oily teens). Multi-hundred thousand dollar short-dated calls were bought by ample individuals on PLTR, hoping for some kind of blowout. Instead, it has lost nearly half its value in a matter of days. Train wreck. But hilarious.

Thus, the cathartic VIX is finally showing a pulse. Yesterday we were at the lowest levels of an entire year. Crib death. Now, the eyelids are fluttering.

My entire options account is devoted to nine puts, all of them with many months left, with the one exception being PTON.

Let ’em burn.