Lula’s Post

⚠️"Market Alert: Lightning-Fast Move in Bank Nifty PE 47600 Yesterday (22-May)! 📍Just witnessed an incredible Few-seconds surge in the Bank Nifty PE option price, with a strike price of 47600! 📍This rapid move highlights the dynamic and unpredictable nature of the markets, where opportunities can emerge and disappear in the blink of an eye.📈📉 📍As a trader/investor, it's essential to stay alert and adapt quickly to changing market conditions.✔️ 📍Did you catch this move? Share your thoughts on what drove this sudden price action! ⁉️This gives us the best example of why In option trading individuals who lose more. #marketvolatility #trading #options #banknifty #marketalert #tradingcommunity #optiontrading #banknifty

“• BANK STOCKS BARELY FALL LAST WEEK NEW ANALYSIS #1 - BANKS BEATING S&P 500 PAST 25-50-75 DAYS • NEW ANALYSIS #2 - CREDIT SPREADS ARE LOWER TODAY THAN PRE-SVB FAILURE (EARLY MARCH 2023) • SECURITIES AT U.S. BANKS ROSE IN THE PAST QUARTER PER OUR COMPILATION OF FDIC DATA • DEPOSIT UPDATE = WK/WK BALANCES DROP ON DEPOSITS WITH SMALL MONEY MARKET FUNDS' RISE  • NEW FUNDING COST DATA SHOWS 43% CUMULATIVE CYCLE BETA SINCE 4Q21 • INTEREST RATES VARIED -3BPS TO +10BPS LAST WEEK, ANOTHER NEGATIVE AOCI MARK AT 6/30" #YarmouthChoate

Do we think bank stocks will crush earnings? 1. Interest rates on credit cards has exploded recently going from low teens to mid-to-high 20%. 2. Delinquencies has not risen much and still hover at historical averages (3% today). 3. Since rates went up 10% but delinquencies did not, won’t that signal a great Q3/Q4 for banks like BAC, JPM and CITI (amongst others)? Thoughts?

Strong secured funding and ample bank reserves remain the two key lessons from the current repo market situation. I’m puzzled by the pressures on repo, as metrics point to high balance sheet constraints and a slight liquidity premium embedded in collateral, yet there’s no real cash/collateral issue so far. it's really about the intermediation capacity. However, even though my repo entropy index isn’t fully operational yet, it’s already signaling inefficiencies in funding. Perhaps there’s growing concern around counterparty risk, especially regarding weaker banks’ balance sheets, as the ameribor 3m vs 3m USA (counterparty risk proxy) is suggesting. To be continued…

When looking at the options open interest of Bank Nifty for the next 2 expires, *48000* appears as a critical level to watch out for in the near term. For more such insights join Strike. Start your 7 day FREE trial here: https://lnkd.in/d_9wyxvf #Nifty #stockmarkets #MarketCrash #marketindices #IndexOptions #Trading #TradingAnalytics #openinterest #Banknifty #optionsexpiry

While browsing the news, I came across a report about a development bank being restricted by the central bank from collecting new deposits, issuing new loans, or opening new accounts due to its failure to meet the required capital adequacy and its alarmingly high non-performing loan ratio of 40.85%. Interestingly, the bank's public shares saw a 5.66% increase in value during yesterday's trading session, and it wouldn't be surprising if the stock hits the upper circuit limit (10%) today. This highlights the fascinating dynamics of our secondary market and its sometimes counterintuitive behavior.

Did you know? The top 5 banks drive over 75% of the Bank Nifty Index! 📈 Stay ahead of the trend and sharpen your trading skills with #TradersTrainingAcademy. 🏦💹 #StockMarketIndia #NSE #BSE #BankNifty #InvestSmart

As per our calculations for this month jun #banknifty index resistance was 51290 and support was 45730. It has made a high of around 51133 then given a correction up to around 46077 and support was around 45730.

The top US Banks have already begun their process to raise dividends post-Stress test results. Of the top 20, 12 have already increased expected dividends for the next quarter. This goes to show that the biggest banks remain largely immune to issues shown on a macroeconomic scale. The CRE and unrealized loss monsters in the closet continue to be somewhat of a non-issue. Let's not forget, that the bank failures of last year were cash, not capital issues, and by increasing dividends clearly shows a strong cash position. #goodluckhavefunyall #banks #capital #stresstest #dividends