QCP Capital: A large amount of put options were sold after the non-farm payroll announcement

QCP Capital stated in its official channel that the initial market reaction was positive after yesterday's non-farm data release, pushing up risk assets. However, as the market began to digest expectations of a 50 basis point rate cut in September, bullish sentiment underwent a dramatic shift. After the non-farm employment data was released, the market expected a 55% chance of a 50 basis point rate cut. But by this morning, the likelihood of a 25 basis point rate cut had risen to 70%, and the possibility of a 50 basis point reduction fell back to 30%. Even with cryptocurrencies falling lower, options markets remained relatively calm. We even saw large amounts of put options being sold throughout trading hours. We observed that front-end volatility is declining as spot prices consolidate over the weekend.