Large Bullish Block Trade Bets on S&P Hitting 8,000 by Year-End
$SPDR S&P 500 ETF Trust(SPY)$ Whether the Fed hikes tonight or not, it can't change oil-driven inflation, nor can it change Treasury yields. If oil prices keep rising, the market will certainly price in a second rate hike, making a spontaneous market pullback unavoidable. After all, Warsh himself said his judgment is dynamic. And based on historical experience, the market has a high probability of continuing to pull back in late September. But Wednesday was something — a large block trade opened a Bull Call Spread: Buy the year-end-expiry 800 Call, Sell the 830 Call: buy$SPY 20261218 800.0 CALL$ ,sell $SPY 2026121