Skeptics Dominate Nasdaq ETF Options on Bets Dollar Eats Profits
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Options traders, convinced technology shares are in a precarious position ahead of earnings season, are paying up for insurance in the event stocks fall from a 15-year high.
Bearish options on the Powershares QQQ Trust Series 1 exchange-traded fund, which tracks the Nasdaq 100 Index, are the most expensive in three years relative to bullish ones, according to data compiled by Bloomberg. The Nasdaq 100 has gained 6.9 percent this year, compared with a 2.4 percent rise in the Standard & Poor’s 500 Index.