I closed
$LQD 20250124 108.0 CALL$ ,
I sold a covered call option on LQD stock at a strike price of $108, a short-term resistance level, and successfully pocketed the full premium as the option expired worthless. With bond investors concerned about Trump’s tax-cut plans potentially increasing government debt issuance, I anticipated limited upside for LQD. Increased bond supply often unsettles markets, as highlighted by BlackRock's Wei Li, with uncertainty around fiscal policy adding to yield concerns. This strategy capitalized on cautious bond market sentiment.
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