Re: BILLIONS IN PUT OPTIONS PURCHASED BETTING THAT THE MARKET WILL CRASH BY 9-21
from what I understand these were put and call options bought by the same entity whomever they may be. It's set up so that they lose only trade costs (several million on something this big) if the market dosent go down but if it loses more than 30% they make a fortune. Actualy this one is small potatoes compared to the similar ones bought in the european market a couple weeks ago. Whoever put that one out gambled over 6 billion.
What are the traders saying?
Lots of people worried about the banks teetering too.