Latest news with #hedges
Yahoo
6 days ago
- Business
- Yahoo
Goldman's Trading Desk Touts Cheap Hedges Against S&P 500 Slide
(Bloomberg) -- Trading desks at firms including Goldman Sachs Group Inc. and Citadel Securities are telling clients to buy cheap hedges against potential losses in US stocks as a slew of risks loom over the market's record advance. Trump Awards $1.26 Billion Contract to Build Biggest Immigrant Detention Center in US Why the Federal Reserve's Building Renovation Costs $2.5 Billion The High Costs of Trump's 'Big Beautiful' New Car Loan Deduction Salt Lake City Turns Winter Olympic Bid Into Statewide Bond Boom Right now, major indexes are soaring as the US inks trade deals amid a solid earnings season. Wall Street's so-called fear gauge hasn't been this low since February, and the S&P 500 Index has rallied 28% since April 8. That backdrop is making it cheap to hedge against a market slump. The cost of protection against a 10% decline over the next month in an exchange-traded fund that tracks the S&P 500 versus a 10% gain is at the lowest level since January. 'If you are nervous, the market is making it very easy to rent hedges,' Goldman's trading desk wrote in a note to clients on Monday. The advice comes before a number of events that risk raining on the market's parade. The Federal Reserve releases its next interest-rate decision on July 30, two days before President Donald Trump's tariff deadline. The US has yet to reach trade deals with key partners like Mexico and Canada. An impasse in talks that reignites trade tensions could dent investor sentiment and spoil the risk-on mood. The July jobs report is also due at the end of the week, with huge implications for Fed policy in the coming months. Plus, consequential earnings results from Big Tech companies including Nvidia Corp. still lie ahead. 'It's time to buy volatility,' BofA Securities Inc.'s John Tully wrote to clients on Monday, noting that the VIX Index historically tends to hit the lowest level of the year in July. He recommends clients buy S&P 500 put options expiring on Aug. 22, which would capture much of the reaction to the Fed's annual economic symposium in Jackson Hole. To be sure, there are reasons to believe the current rally will continue. Scott Rubner, head of equity and equity derivatives strategy at Citadel Securities, told clients that retail traders are one group that could offer support. Also, if the Fed finds that tariffs aren't driving inflation or impeding economic growth, a rate cut in September could drive further gains, according to Tully. Ilan Benhamou, a member of JPMorgan Chase & Co.'s equity derivatives sales team, suggested that clients buy put options that expire Aug. 1 to protect against a slump in stocks in response to the tariff deadline and the July non-farm payrolls report the same day. As stocks extend their advance, long exposure is approaching elevated levels across institutional investors such as systematic funds, according to Rubner. Soon, he said, they will 'take their foot off the pedal.' Rubner urged investors to move into hedges expiring in September to protect against macro events. There's also historical precedent: data going back to 1928 shows that September is the worst-performing month of the year for US equities, he said. Burning Man Is Burning Through Cash Elon Musk's Empire Is Creaking Under the Strain of Elon Musk It's Not Just Tokyo and Kyoto: Tourists Descend on Rural Japan A Rebel Army Is Building a Rare-Earth Empire on China's Border What the Tough Job Market for New College Grads Says About the Economy ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
6 days ago
- Business
- Bloomberg
Goldman's Trading Desk Touts Cheap Hedges Against S&P 500 Slide
Trading desks at firms including Goldman Sachs Group Inc. and Citadel Securities are telling clients to buy cheap hedges against potential losses in US stocks as a slew of risks loom over the market's record advance. Right now, major indexes are soaring as the US inks trade deals amid a solid earnings season. Wall Street's so-called fear gauge hasn't been this low since February, and the S&P 500 Index has rallied 28% since April 8.
Bloomberg
21-07-2025
- Business
- Bloomberg
US Equities Have Room to Run in Earnings, Says HSBC's Kettner
Max Kettner, chief multi-asset strategist at HSBC, sees markets continuing to rally amid earnings season, but says get ready to 'put a couple of hedges on some of the cyclical parts of the market' in the weeks ahead to lock in some gains. (Source: Bloomberg)
Irish Times
13-07-2025
- General
- Irish Times
My beech hedge looks brown and tatty. Is it past the point of rescue?
I planted a beech hedge in March using young bare-root plants. I made sure to water it during the very warm dry weather in late spring, but even so, some of the leaves turned brown and many of the plants now look tatty. Do they need to be replaced? Ciarán O'Hara, Wexford The unseasonably dry, hot weather in Ireland in April and May caught a lot of gardeners out. It also put recently planted hedges and young trees under stress just as they were coming into leaf and the pressure on their immature root systems was at its highest. This was especially true of bare-root specimens. Although these are much more affordable and environmentally friendly than container-grown specimens, unfortunately their one downside is their greater vulnerability to drought for at least a year after being planted. You mention being careful to water the plants, but even so, it's all too easy to underestimate how much water a young bare-root hedge will need (at least 10-15 litres per plant every couple of days), especially when exposed to drying winds and sustained high temperatures. Young bare-root plants can also easily suffer stress even before they go in the ground. This can happen, for example, if their vulnerable root systems aren't protected from drying out by damping them down with water and keeping them wrapped and in a cool, shady spot until you're ready to plant them. READ MORE This aside, it's not unusual to have some browning of leaves on young hedges where bare-root plants have been used, so I wouldn't assume they need replacing. Start by gently scratching a few of the stems to see if they're still green beneath the outer layer, a very good sign that the plant tissue is still alive and viable. Also make sure to keep watering your hedge regularly throughout the summer and early autumn months, ideally in the evening, especially whenever drought or higher-than-normal temperatures are forecast. As a deciduous species, beech trees naturally drop their leaves in late autumn, but beech hedging is much more likely to retain its dead leaves until the following spring when it bursts back into leaf again. It's only then that you'll be able to properly gauge the extent of any possible long-term damage. But the chances are good that your plants will have recovered and established stronger root systems capable of properly sustaining healthy growth. My advice is to wait and see. Finally, bear in mind that young hedges should also be kept weed-free until properly established. Mulching around the base of the plants in early spring also helps to lock in soil moisture and prevent the soil from getting too warm, as well as preventing fresh weed growth.
BBC News
03-07-2025
- General
- BBC News
Why annual hedge cutting in Jersey is a balancing act
Since 1914, people in Jersey have picked up sickles and strimmers to cut the hedges around their houses. "Branchage" is a legal requirement designed to keep roads as safe as possible, but environmentalists said they were increasingly worried the practice was destroying too much and have called for Stephen Le Quesne said branchage had been completed to varying levels of success, damaging hedges and injuring wildlife, for of St Saviour Kevin Lewis said it was important to maintain road access but added it was difficult to balance the community's competing needs on the issue. What is branchage? Branchage, which literally means branches, is the 111-year-old law that requires land owners or renters in Jersey to cut back any trees, shrubs or grass overhanging roads near their must be a 12ft (3.6m) clearance over main roads and by-roads, and a clearance of 8ft (2.4m) over footpaths. The aim is to make it safer for drivers, cyclists and pedestrians to use the officials carry out two inspections, one in late June or early July and another in September, to check branchage has been it is not done properly, parishioners can be fined up to £100 or the parish may arrange for the work to be done and residents to be charged for it. Mr Le Quesne said he believed the island's natural environment has been degraded since the start of branchageHe said hedges being "scalped to the bone" caused environmental loss and risked erosion to old stone walls."You're losing your insect populations, you're losing your flowers, you're losing your biodiversity, you're not allowing flowers and grasses to go through their natural cycles," he suggested creating a network of green lanes across the island with minimal traffic are not cut until August or early said this could be a real boost for tourists visiting the island for its natural beauty and would encourage people to get out more. Lewis said branchage was important to maintain free access to the roads, particularly for bin lorries, tractors and emergency vehicles. He said he agreed with environmental concerns and it was important people did not cut back hedges too tightly, leaving at least 10cm of added he had only seen a few "minor infractions" during his July 2025 inspection and he preferred to issue warnings to residents instead of Government of Jersey advises people should help the environment by cutting with hand tools when possible, allowing pans to set seed if not overhanging, leaving tussocks of vegetation for insects and never carrying out heavy hedge work during bird breeding season between 1March and 31 July.
