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A new way to trade the Future

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Trade your opinion on yes-or-no questions in key CME Futures markets

Say you have a strong sense of whether the price of Gold will close above USD$2,000 today, and you wanted an immediate means of taking that position with a simple Yes/No push of a button.

Now there’s a new way to express that market sentiment immediately, and across a robust number of key futures products, via Interactive Brokers’ innovative trading platform.

Event contracts offer the most intuitive, straightforward way yet to access 10 of the world’s most important futures markets.

They are short-term, limited-risk contracts that streamline how you can take part in benchmark markets.

And it’s as simple as using event contracts to trade your opinion on Yes-or-No questions on whether key futures markets will move up or down by the end of each day’s trading session. 

Interactive Brokers’ just made it even simpler with its newly launched IBKR EventTrader platform.

TELL ME MORE

Event contracts are based on the outcome of an event and are short-term positions good for that trading day only. This provides investors with a straightforward way of participating in key futures markets.

You can select from event contracts in the Equity Index, Energy, Metals and foreign currency futures markets, and to trade, just choose YES or NO on an event contract.

You will be presented with a menu of short-term price predictions by product. To participate, just choose a side on a given prediction.

So, if you think the price of crude oil is going to rise on the news of an OPEC production cuts, you can buy a YES contract and benefit from any increase in the price of oil by the end of the day. 

Similarly, if you think the stock market is going to fall on disappointing news, you can buy a NO contract on an Equity Index Event Contract and profit from any decline.

Will the S&P 500 Index close above 3,900 today? Simply Yes or No.

Event contracts are settled in cash, so there is no need to worry about delivery or expiry.

HOW CAN YOU GET STARTED?

You don’t need a big investment to gain access to major futures markets’ daily activity, nor is there a big expense to enter a trade – between USD 0.25 to USD $19.75 per trade.

For each event contract you hold that expires “in the money”, in reference to the underlying futures settlement price, you receive a fixed payout of USD $20.00. Your max profit per contract is USD $20.00 minus the contract cost, fees and commissions. Event contracts are priced between USD $0.25 to USD $19.75 per contract and quoted in USD $0.25 increments.

Interactive Brokers offers a low, transparent commission of just USD 0.10 per event contract.

Event contracts also provide exposure to key futures markets while limiting an investor’s risk because the most one can lose is the price paid for the contract.

  • You can buy one contract or multiple contracts at once. 
  • You receive a fixed payout of $20 for each event contract you hold that expires “in the money,” minus contract cost, fees and commissions.

Basically, IBKR EventTrader empowers investors’ ability to take a position on their daily price predictions.

And it’s fun.

You can get more insights on eventtrader.interactivebrokers.com.

You can also get a concise and detailed EventTrader Demo in this webinar:  Trading CME Event Contracts at Interactive Brokers Using IBKR EventTrader Platform – IBKR Webinars

So if you’re looking for a new and straightforward way to trade key futures markets, check out IBKR EventTrader

With low commissions and no minimums, it’s easy to get started. Yes or . . . Yes.

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Money

Dow rises 400 points as trade tensions ease

Dow climbs 400 points as trade tensions ease, Trump signals no plan to fire Fed Chairman Powell.

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Dow climbs 400 points as trade tensions ease, Trump signals no plan to fire Fed Chairman Powell.

In Short

Stocks rose significantly on Wednesday, with the Dow up 461 points amid optimism about reduced U.S.-China tariffs.

Investors reacted positively to President Trump’s comments on trade, improving overall market sentiment after a four-day losing streak.

Stocks saw significant movement on Wednesday, with the Dow Jones Industrial Average rising by 461 points, or 1.2%.

The S&P 500 and Nasdaq Composite also experienced gains of 1.7% and 2.6%, respectively.

Initially, the Dow surged by 1,100 points due to optimism surrounding U.S.-China trade relations.

President Donald Trump indicated a willingness to adopt a less aggressive trade strategy, suggesting that the current 145% tariff on imports from China would be significantly reduced but not eliminated entirely.

Trade agreement

Treasury Secretary Scott Bessent commented on the potential for a beneficial trade agreement between the two nations, expressing a desire for joint efforts to address trade imbalances.

Market reactions reflected relief at the prospect of eased tensions, with Keith Buchanan from Globalt Investments noting that investors were hopeful the worst might be over, though uncertainties remain.

Reports indicated that the U.S. administration was contemplating reducing tariffs on China to between 50% and 65%, contingent upon mutual concessions from both countries.

Stocks affected by trade dynamics, particularly tech companies like Apple and Nvidia, showed marked increases, with Tesla’s shares rising 5% partly attributed to these easing tariff concerns.

Investor sentiment improved further when Trump reaffirmed that he has no intention of dismissing Federal Reserve Chairman Jerome Powell, a shift from his previous criticism of Powell’s leadership.

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Money

Credit-card firms prepare for economic downturn risks

Credit card companies prepare for economic downturn; rising delinquencies prompt tighter lending despite continued consumer spending.

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Credit card companies prepare for economic downturn; rising delinquencies prompt tighter lending despite continued consumer spending.

In Short

US credit card companies are preparing for a possible economic downturn by tightening lending and increasing reserves, even as consumer spending remains high.

While the wealthy continue to spend, access to credit is diminishing for lower-income individuals, and caution is growing among banks.

Credit card companies in the US are preparing for a potential economic downturn despite current consumer spending levels. Businesses are increasing reserves and tightening lending as delinquencies rise to pre-pandemic levels.

JPMorgan Chase and Citigroup have augmented their rainy day funds to mitigate expected losses. Retail card issuer Synchrony is applying stricter lending criteria, while U.S. Bancorp is targeting wealthier customers to reduce risk.

Although large lenders are still reporting profits, the effects of Trump’s trade war have yet to reflect in financial results. Recent data shows that Americans are spending and borrowing at a faster pace compared to last year.

Travel and entertainment

However, there are warning signs as consumers begin to cut back on nonessential expenditures such as travel and entertainment. The trend of cardholders making only minimum payments is above pre-pandemic levels.

Despite consumers showing confidence in spending in early April, banks remain cautious. They are redirecting their marketing strategies towards affluent households, recognising that the wealthiest individuals account for a significant proportion of total spending.

Conversely, access to credit is tightening for lower-income individuals, with Synchrony reporting declines in active accounts and purchase volumes. American Express, meanwhile, continues to perform well among high-income clients, with strong consumer spending growth reported.

Unemployment rates among white-collar workers remain low, offering some stability in credit card portfolios for certain issuers.

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Money

U.S. shares rebound amid tariff negotiation optimism

U.S. shares rebound over 2.5% amid tariff optimism, despite economic warnings and mixed global market performance.

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U.S. shares rebound over 2.5% amid tariff optimism, despite economic warnings and mixed global market performance.

In Short

U.S. shares rebounded significantly due to optimism over tariff negotiations, with major indexes rising over 2.5%. However, companies continue to face challenges from tariffs and uncertainty in the market, leading to mixed results overseas.

U.S. shares saw a significant rebound on Tuesday, with major indexes increasing by over 2.5%.

This recovery was influenced by optimism regarding tariff negotiations, as noted by Treasury Secretary Scott Bessent, who expressed confidence in a potential de-escalation of the trade war with China.

Despite this positive sentiment, companies are still grappling with the effects of the Trump administration’s tariffs.

Defense contractor RTX announced an anticipated $850 million financial impact, and Kimberly-Clark cited a “global geopolitical landscape” for a lowered profit outlook.

Economic forecasts

The International Monetary Fund has revised its economic forecasts for the U.S. and globally, highlighting tariffs as a factor in slower growth.

Goldman Sachs CEO David Solomon indicated that high levels of uncertainty are hindering corporate decisions and impacting asset prices, and the Institute of International Finance warned of a probable U.S. recession later this year.

Gold prices have fluctuated, retreating after reaching a record high on Tuesday, reinforcing its status in uncertain markets.

Tesla’s quarterly earnings did not meet estimates, but the company’s share price remained stable.

Concerns about President Trump’s trade policies and his remarks regarding Federal Reserve Chair Jerome Powell contributed to market volatility earlier in the week.

In trading results, the Dow Jones increased by 1,017 points or 2.7%, while the Nasdaq and S&P 500 both rose by 2.7% and 2.5%, respectively.

Treasury yields decreased slightly, and Bitcoin’s value climbed past $91,000.

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