Via the always excellent Charlie McElligott at Nomura.
From Left-Tail To Risk-Tail…
1). The “Trump Collar” helped to compress then collapse realized Volatility off the most extremely 100%ile levels April / May, as the market reconditioned to his reaction function (selling the call at the highs with emboldened tariff rhetoric, but long the put into downside scares)…This vol compression turned outright vol melt thereafter, as the Administration has now fully-embraced the pivot back towards Trump 1.0 “run-hot” policy w/ passage of fiscally stimulate OBBB (and away from that initial Trump 2.0 foray into spending cuts)
