My sense is that the best conditions for a home price index hedging market exist when you have:
- Pronounced different views on the future
- Recent history to color participants interest (or need?) in hedging
- A mindset that trading (or hedging, betting) is an acceptable activity.
No regional market satisfies these … Read More
Quotes on CME Case Shiller home price index futures have tipped over toward being consistent with negative HPA in 2019 for five of the ten regions (NYM, CHI, LAX, SDG, and SFR). Of the other fiver regions none are much above zero HPA, with BOS, DEN, and WDC just below … Read More
I’ve compiled an interesting set of data that I’ll use to illustrate how the CME S&P Case Shiller home price index futures have traded over the last 7+ years. It may help traders understand how to better trade the contracts, as well as quirks within the contracts. I will be … Read More
While many reports focus on the historical robustness of home prices (e.g. “FHFA Home Prices See No Slowdown”), and some pundits have only slightly revised lower their forecasts for home price gains for 2019-20 lower, quotes on the CME Case Shiller home price index futures are consistent with more … Read More
I’ve posted a recap of activity in the CME Case Shiller home price index contracts for October. The recap is in the Reports tab or you can access here.
Highlights of recap include:
–There were 22 futures contracts traded in October, across 6 expirations, and 3 regions. Trading, and … Read More
Quotes on the CME Case Shiller home price index futures are generally lower by about 1/2 point per contract, after this morning’s release of the monthly Case Shiller numbers. The table below shows prices for the 11 Nov. 2019 contracts (X19) comparing yesterday versus today. The LAV and WDC contracts … Read More
Quotes on the CME Case Shiller home price index futures have been moving lower since month-end, and most notably somewhat in sync with the selloff in the stock market over the last two days. The price moves for the first two weeks of October have been larger than any monthly … Read More
I’ve posted a recap of (the very limited) activity in the CME Case Shiller home price index futures for September. You can find the recap in the Reports section, or access here.
(I’ve also updated life-to-date volume and open interest tables. Both are in the Reports section.)
There was … Read More
Quotes on the CME Case Shiller home price index futures are mixed, and a hair lower, after this morning’s release of Case Shiller numbers. As illustrated in the table below, prices on the Nov ’19 (X19) BOS and LAX contracts are lower by one point, while the LAV and SFR … Read More
The August 2018 (Q18) contracts will stop trading on Monday Aug 27 at 3 PM Eastern (note one hour before other contracts), and will be cash-settled on the Case-Shiller index values released by S&P on Tuesday Aug 28. Recall that this August release of CS #’s covers the period April, … Read More