Friday, March 2, 2007
Sheesh. I just heard a guy on Bubblevision talking about the "meaning" of the "VIX" and options on the VIX. Those are a derivative of a derivative of a derivative of a derivative - a fourth generation of a derivative. He was seriously saying how the "market" in those meant something about the size of the correction for the future, sort of like the "market is always right" crowd. That's just ridiculous. A bunch of beefers swinging money around means nothing except in their own crowd & P&L, like a ping-pong game among themselves.