Surge in Europe Stock Options Volume Shows Race to Hedge Greece
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Whatever happens after Greece’s vote, stock investors have had time to prepare.
They’ve taken action in the options market to hedge against equity selloffs, trading an average of 1.6 million Euro Stoxx 50 Index contracts each day in the past month -- the most since 2011. The gauge fell 2.2 percent on Monday, after Greeks voted 61 percent to 39 percent to reject terms of a European Union bailout, the Interior Ministry said.