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Spot on...

It's a demo account and, clearly, exercising American options early is not supported by the demo platforms you're using. The natural place to seek answers to your questions would be the demo platform providers (Saxo and IB). I don't think you should expect to find an answer to such a...

Come on, IRs ain't that illiquid and low-volume and IBs ain't that bad either. I try to do whatever tickles me fancy, but obviously you can't really go much further than the reds in Ozzie. At the moment, I fancy a bit of H4-H5 and M4-M5 action, but that's just 'cause I can't really go much...

Not to usurp from s0mmi, but it very much depends on the mkts, innit? In Ozzie, there are things that everyone and their mother trades, such as the 10y Oz-US spread. Personally, I have always been fond of spreading the Ozzie STIRs (IRs) vs Eurodollars and CAD STIRs (BAs).

It's difficult for me to imagine why I would ever wanna do it. This is, essentially, a weighted condor and I honestly can't think of a good reason off the top of my head to do something like this. In general, the utility of these fanciful structures diminishes once you get past 3 legs, IMHO...

A lot of macro sensitivity and, particularly, to European developments... So you need to watch a lot of macro data.

I ain't gonna be doing no funny dancing!

The headlines from the depo cut story (link below) came out arnd 15:20 GMT and caused some excitement. http://www.bloomberg.com/news/2013-11-20/ecb-said-to-consider-mini-deposit-rate-cut-if-more-easing-needed.html

Ozzie STIRs and bonds, heh? I am involved in that sh1zzle, although it's such an b-a**-ackward mkt, it's crazy :). Cash-settled bond futures and physically-settled STIRs! You Ozzies are cray-zeeee!

I don't understand this... Why do you care whether people know? People who have thought about it know, while people who just punt around don't. Furthermore, when you're a mkt participant, you're short all sorts of options, not just the one you describe. For instance, you have counterparty...

Since Eurodollars are "forwards" (like all other futures), what you get isn't, strictly speaking, "carry", but rather a related concept called "roll". Like you said previously, roll is like convergence to spot for other mkts.

Ho, good god... It's relatively obvious that a leveraged trader is always short the "max drawdown option". This isn't specifically confined to longs. As to what leveraged traders get in return for selling this optionality, isn't it also rather obvious? They get to trade with leverage -...

It depends... This information, on an aggregate level, could be useful in certain situations (generally, it's more useful in less liquid and more concentrated mkts). Most of the time, such info is neither here nor there.

The most common view is Mar 14 start for taper, although the odds of Dec start have risen recently... It's not entirely clear how much is already priced in, which means that rates might not rise that much, once taper is announced. Moreover, the author of the article seems to have forgotten...

Hmm, I might be missing smth, but did the author of this article forget the dividends? The ATM fwd for Mar 2014 expiry would appear to be quite a bit lower than spot px, which, at the very least, would make the calculations different. Not that I doubt the conclusion that there be skew...

Yes, this is correct... The best way to think of convexity in practice is to imagine that you're trying to explain the PNL of your position based on its risk.

Very well, you have a good w/e as well...

Given that futures basis strategies are fundamentally driven by the level and volatility of short rates, trading the basis has grown more difficult and less rewarding to much the same extent as trading Eurodollars. Again, I am saying this, since I actually look at both of these mkts. Neither...

Why can't one do Eurodollar spreads in his IB account? Why is basis THE place to be if you wanna trade rates? That's just your opinion and, in my opinion (pun intended), you're wrong. Prop firms on my side of the pond overwhelmingly trade STIRs, for all the reasons I have mentioned in my...

No probs. Some of this stuff is a little more technical, so you need to spend a little time understanding it properly.