Unhedged

The gamma squeeze

Nvidia continues its rocket-like rise: Investors have piled in, as have day traders who play the stock with options. This is causing banks and market makers to load up on shares in order to cover trades. It's a feedback loop traders call the gamma squeeze, and some are concerned it’s distorting markets. Today on the show, Katie Martin talks about Nvidia and the gamma squeeze with correspondent George Steer. Also we go long the ECB and short proposals for a Texas stock exchange.  For a free 30-day trial to the Unhedged newsletter go to: <a href="https://www.ft.com/unhedgedoffer" rel="noopener noreferrer" target="_blank">https://www.ft.com/unhedgedoffer</a> You can email Robert Armstrong at <a href="mailto:rob.armstrong@ft.com" rel="noopener noreferrer" target="_blank">robert.armstrong@ft.com</a> and Katie Martin at <a href="mailto:katie.martin@ft.com" rel="noopener noreferrer" target="_blank">katie.martin@ft.com</a>.  <a href="https://www.ft.com/content/aa916701-b70c-4e59-972f-1a3fb9d88efd" rel="noopener noreferrer" target="_blank">Read a transcript of this episode on FT.com</a> Hosted on Acast. See <a href="https://acast.com/privacy" rel="noopener noreferrer" style="color:grey;" target="_blank">acast.com/privacy</a> for more information.

Katie Martin, Robert Armstrong and other markets nerds at the Financial Times explain the big ideas behind what’s happening in finance right now. Every Tuesday and Thursday. Hosted on Acast. See <a href="https://acast.com/privacy" rel="noopener noreferrer" style="color:grey;" target="_blank">acast.com/privacy</a> for more information.