Barron's The Stricking Price Volatility Trade
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Date updated:09-22-2007

Deutsche Bank's equity derivatives strategists advised clients to buy options on gold stocks and sell options on the Philadelphia Stock Exchange Gold and Silver Index (XAU). The trade is complicated, and intended for major institutional investors who have the means to buy "March-08 variance" in selected gold stocks and selling "XAU variance" on a ratio. The strategy is worth highlighting because it will help put in context some of the bullish trading in options on gold stocks.

Below is the list of names that Deutsche recommends buying options on.

symbol name last price % change open
  • +
  • NEM
    Newmont Min Cp (h
  • $50.56
  • +3.10%
  • $50.07

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning NEM also tend to own: PGRIGFTOPDNSTKPAASABX

TheStreet.com Rating: C+ What is this?

  • +
  • GG
    Goldcorp Inc
  • $44.00
  • 0.00%
  • $N/A

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning GG also tend to own: AAPLBRCMBTUCCJCNQCTRPGOOG

TheStreet.com Rating: B- What is this?

  • +
  • ABX
    Barrick Gold Cp
  • $43.00
  • +3.29%
  • $42.87

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning ABX also tend to own: AAALAPDAUCXDDDOW

TheStreet.com Rating: C- What is this?

  • +
  • AEM
    Agnico Eagle Mine
  • $59.76
  • +3.84%
  • $59.81

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning AEM also tend to own: AAPLACICOPERFGOOGHALNE

TheStreet.com Rating: C What is this?

  • +
  • KGC
    Kinross Gold Cp
  • $19.41
  • +4.02%
  • $19.52

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning KGC also tend to own: AIRNAUYEFIIFXIHLSNDKSPN

TheStreet.com Rating: C- What is this?

  • +
  • AU
    Anglogold Ashanti
  • $42.40
  • 0.00%
  • $N/A

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning AU also tend to own: AAPLDOWGLGGSNRPHPCUPD

TheStreet.com Rating: D+ What is this?

  • +
  • GFI
    Gold Fields Ltd A
  • $14.56
  • +4.00%
  • $14.63

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning GFI also tend to own: AEZBLDPESLRGSSNTRZRTKABX

TheStreet.com Rating: C What is this?

  • +
  • MDG
    Mdg
  • $0.00
  • N/A
  • $N/A

"Indeed, Deutsche Bank's strategists recommended that volatility traders focus on Goldcorp, Newmont Mining, Agnico-Eagle Mines, Kinross Gold, AngloGold Ashanti, Gold Fields, Meridian Gold, Freeport-McMoRan Copper & Gold, Pan American Silver, Royal Gold, Coeur d'Alene Mines, Barrick Gold, and Harmony Gold Mining."

People owning MDG also tend to own: NWSPXCHKCNIDIODFDGFNET

TheStreet.com Rating: No Rating What is this?

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Portfolio not tracked!

09/27/2007 12:56 PM CDT Asked by Warhammer Online Forum
Doesn't seem to go very well.

Warhammer Online Forum

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