NASDAQ 100 put-to-call skew drops to historic low as investors turn bullish

by@KobeissiLetter

Summary

Investors are currently exhibiting a strong bullish sentiment towards technology stocks, as indicated by the Nasdaq 100 index's put-to-call skew dropping to 0 points, marking one of its lowest readings in the last 20 years. This decline suggests that investors are less inclined to seek downside protection through put options, with a significant drop of -0.25 points since March 2026. This confidence is supported by recent fund manager surveys which show an overweight position in equities and optimism about earnings growth, particularly in the semiconductor sector, which has bolstered confidence in artificial intelligence developments.

Tokens

$NDX

Analysis

Nasdaq 100 index: The Nasdaq 100 index tracks the performance of the 100 largest non-financial companies listed on the Nasdaq stock exchange, with heavy weighting toward technology, consumer services, and growth-oriented firms. It serves as a key benchmark for investor sentiment in the U.S. tech sector. Recent metrics tied to the index highlight exceptionally low demand for protective options amid prevailing bullish views on technology stocks. AI Developments: Strong earnings and guidance from semiconductor companies have helped revive investor confidence in the artificial intelligence theme. Market Sentiment: Recent fund manager surveys indicate investors remain overweight equities and optimistic about earnings growth prospects.

Categories

tech

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