Eyeing TWTR for another trade. Premium Subscribers please review your email and our latest research report issued this morning regarding earnings, retail reporting, Fed testimony and PCE expectations.

St. Louis Fed President James Bullard said Monday he does not think the so-called neutral U.S. interest rate is likely to rise much over the next two years.

“The natural, safe real rate of interest, and hence the appropriate policy rate, is relatively low and unlikely to change very much over the forecast horizon,” Bullard said in a speech to the…[Read more]

REX Shares LLC, which sponsors two volatility-linked products, on Friday announced adjusting those funds so they invest in a different set of underlying instruments than they had before. https://www.reuters.com/article/us-usa-fund-volatility/u-s-volatility-fund-sponsor-tweaks-strategy-after-market-plunge-idUSKCN1G804L

Premium Subscirbers: We have hit our target on SVXY today. Will update Trade Alerts at day’s end!

TDAmeritrade-Scottrade interview/cast with Russel Rhoads from February 21 https://tdameritradenetwork.com/video/19fcf28b-0ae5-44f0-a7af-772df1f14d9e

Great conversation recorded last year regarding short-VOL, XIV, Chris Cole and others. https://twitter.com/pat_hennessy/status/961004707098447872

I don’t expect pre-market averages to remain flat to slightly positive when the market does open, so I’m setting up a long-against-the-box trade on UVXY (LOB trade).

Minutes of the Jan. 30-31 Federal Open Market Committee meeting released Wednesday showed that while several officials expected inflation to move higher this year, only “a couple” of officials were worried about the possibility that the economy would overheat.…[Read more]

“We can’t make policy based on market blips, up and down,” Kashkari said. The Minneapolis Fed president, one of the most dovish central bankers, said that he has “hope” inflation is picking up after a decade of being below the central bank’s 2% target. “We keep saying inflation is right around the corner and then it disappoints us,” Kashkari said…[Read more]