A wild week in markets as we saw multi-sigma moves in many asset classes. Remember that if someone says: “This is a 5-standard-deviation move in silver, that should happen less than once every thousand years!” the correct response is: “Yeah, but financial market data is not normally distributed!” Tail events happen all the time! That’s why Nassim Taleb is famous and wings are expensive and pods and short vol strategies blow up every few years. There is nothing particularly surprising about huge moves. They are endemic to financial markets. The theme for most of this week was HEDGE AMERICA as foreigners do not want to ... (full story)