ZB implied volatility and skew increase as put spreads and call vega appeal, Andy Constan notes

ZB implied volatility and skew increase as put spreads and call vega appeal, Andy Constan notes
ZB IV and skew up, call vega favored

Andy Constan, founder and strategist at Damped Spring Macro, observes that ZB implied volatility (IV) and skew have risen notably.

Constan suggests that a strategy of selling put spreads and buying call vega with a short position is currently attractive. He adds that, from a longer-term perspective, volatility remains moderate and is not significantly elevated.

Constan previously clarified the timing and process of Oracle's $7.5 billion share sale after reports mischaracterized the SEC filing, according to earlier coverage. He has also raised questions regarding the terms of Blue Owl and IREN’s $2.4 billion senior secured deal, as noted in a prior report. These observations contribute to his ongoing commentary on major market developments.

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