TWIFO 518: Clash of the Titans: Crude vs. Gold vs Equities

Options flow shows traders fading extremes — selling puts into the equity selloff while using defined-risk spreads against aggressive upside bets in crude, gold, and corn.

• Equities crack then bounce: Hot PPI pushed CME FedWatch odds of an October hike to ~80%, VIX hit a 17 handle, and S&P put volume briefly ran 70-75% before flipping back under 70% the next day.
• Capitulation signs, then dip-buying: Scott Bauer saw real capitulation (bonds rallying, 10-year yield dropping from 5.35% to under 5.10%) but had clients selling credit put spreads in beaten-down names like Micron and Dell.

Themes, sentiment and reasons are AI-written paraphrases, checked so they never quote an episode. They may contain errors. Not investment advice. Episodes remain the property of their creators.