Fed Gets Dovish? | Post Election Year Cycle | Option Vanna Rally? | In the End its Earnings

Fed Gets Dovish? | Post Election Year Cycle | Option Vanna Rally? | In the End its Earnings

Author: Derek Moore August 25, 2025 Duration: 52:46

Derek Moore and Shane Skinner geek out on the second derivative option Greek Vanna to understand how implied volatility changes cause buying or selling in markets. Plus, does Powell and the Fed not care about inflation anymore? Later, examine the post-election year seasonality to see if we are entering a historically weak period. All that plus what happens historically in markets when the fed has long period between rate cuts, interest rate probabilities, how to understand why stocks go up or down (return attribution). 

 

What is Options Vanna?

Why do implied volatility changes cause buying and selling in markets?

How do option market makers hedge or offset option orders?

Understanding how price to forward earnings (the multiple) and EPS estimates drive price

What type of environment are we in currently?

The Fed's Jerome Powell Jackson Hole speech hints at dropping 2% inflation target

Did the Federal Reserve just give the 'all clear' for a rate cut turning dovish?

Why earnings estimates drive price in the S&P 500 index

How implied volatility changes affect an option's Delta

How VIX Spikes and subsequent drop causes additional buyers to come in

What historically happens August to October from a post-election seasonal standpoint?

Data shows that when the Fed has time between interest rate cuts historically markets do well

 

Mentioned in this Episode

 

Derek Moore's book Broken Pie Chart https://amzn.to/3S8ADNT

 

Jay Pestrichelli's book Buy and Hedge https://amzn.to/3jQYgMt

 

Derek's book on public speaking Effortless Public Speaking https://amzn.to/3hL1Mag

 

Contact Derek derek.moore@zegainvestments.com 

 

 


Derek Moore hosts Broken Pie Chart, a podcast that digs into the practical realities of managing money in a complex world. The name comes from the idea that traditional, rigid models for investing and planning often don't reflect real life. Each episode takes a specific concept-whether it's portfolio construction, market behavior, or preparing for retirement-and breaks it down into straightforward conversation. You'll hear clear explanations of economic trends and financial principles without the jargon, focusing on how these ideas actually impact personal and professional decisions. This isn't about hot stock tips; it's about building a durable understanding of how markets and the economy function. The goal is to provide listeners with a stronger foundation for their own financial choices, making seemingly opaque topics accessible and relevant. Tune in for a thoughtful, grounded perspective that challenges conventional wisdom and simplifies the complicated.
Author: Language: English Episodes: 100

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