Friday, October 17, 2008

Big artificial bang today on Wall St

80 million options expire today so expect some wild swings on the DOW

Owners of the contracts on stocks, indexes and exchange- traded funds have until today's close to take advantage of the rights granted by the calls and puts they own. Investors are preparing for the possibility that market makers will boost volatility by buying and selling stock to hedge the risk of the options they have facilitated. Expect fireworks!!!

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