General Discussion

Institutional investors hold futures contracts as hedges against future stock price fluctuations. Once a quarter, they have to roll their contracts from the ones dated this quarter, to next quarter's contract. The process takes two weeks and started about a week ago. This week, futures volume is about half usual, as half are still in June contracts, while the rest are in Oct. So big moves in speculation, with fewer futures to hedge, contributes to high volatility.

To make matters very complicated, they are having to hedge against a ton of speculation on the SpaceX IPO, the entry of millions of small retail traders into markets as a result of dropping of Pattern Daytrader rules, as well as Trump manipulation.

These conditions are unprecedented. A lot of individual traders are sitting on hands, waiting for the markets to figure themselves out. Tomorrow and next week will be wild.