The Following Took Place Between 9 AM and 10 AM

• Posted by Adam Warner
• on January 21st, 2010

Bloomberg TV had a volatility graph up on Google, and they showed both implied and realized volatility. And noted that realized volatility seriously lagged implied.

Yes, I heard it and saw it with my own eyes. The image of realized volatility was a bit grainy, kind of Zapruder film quality, but it was there.

GOOG reports tonight, and the bidup ahead of earnings looks pretty large. As she noted on TV, there’s some expectation they’ll elaborate on what’s going on in China, so perhaps a bit more uncertainty here than usual.

Assuming GOOG volatility dips to about 25 tomorrow, it looks like the market anticipates about a 6-7% move in the after hours.

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

blog comments powered by Disqus