So much talk leading up to today’s ECB rate decision and press conference. I decided to to take a chance, it’s pure gut feel, I bought a put option for one day expiring tomorrow Sept 5 with a premium of 44bps, strike at 1.3150 and breakeven at 1.3106.
What a surprise!
The ECB announced cuts on the main interest rate and also went negative on the deposit rate, sending the Euro crashing, I just squared off the trade at 1.3026 and was happy with a 80bps profit.
This is the trade all of us have been waiting for!
The Panthenon Investment Group 