Option contracts worth $2.8 trillion are set to expire during Friday’s “quadruple witching” event, according to figures from Goldman Sachs Group GS, +0.93%. …
“Quadruple witching,” as its known, happens when equity futures and option contracts tied to individual stocks and indexes —- as well as exchange-traded funds — all expire on the same day. …
Options expiring on Friday could “remove the 4k pinner that has kept a lid on big moves,” said Scott Rubner, a managing director and top derivatives strategist at Goldman, in a note to clients obtained by MarketWatch. This could make the S&P 500 more vulnerable to a big swing in either direction. “Either way. We are going to move next week.”
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