### POV, SHORT TERM VOL SALE INTO MONTH.....>

OPTIONS: ### POV, SHORT TERM VOL SALE INTO MONTH END?

- Not without risk, but VIX vol index may be a sale even at lower current level

at 22.15 (-1.20) this morning. 

- Month-end risk-on, or dead-cat bounce for equities? SPX continues to rebound

on the back of stronger than expected private ADP number for October, +227k vs.

+187k est.

- Potential short term-opportunity. If today's early risk-on tone holds, VIX

likely to return to mid-October levels in the high teens -- before the equity

rout.

- Factors to consider: chatter of asset allocation, portfolio rebalancing into

month end has persisted last few days. Wells Fargo analysts issued opinion piece

Tuesday estimating $21B rebalance buying for equities.

- Strong earnings from GM supportive, but FANG shares have been volatile of late

to say the least.

- Significant headline risks tied to midterm election politics, global trade,

Brexit, etc always a factor.