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The week's question
In December 2024, in the thread "Re: BRK: Why Not XOM?", BreckHutHigh asked the members: "What about the long road trips with kids?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: Bluehorseshoe   😊 😞
Number: of 21944 
Subject: Re: Check Capital Management BRK Options Stragegies
Date: 10/19/23 4:27 PM
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Not sure anyone cares, but I closed some of the calls I'd written. (all of my Jan $370 contracts; I have two other strike/date combos left)

I appreciate you sharing. I have yet to close my Jan contracts I wrote back in August and early September. I know it makes sense to close them out here with so little return left in them, but I may just hold to expiration. I don't see much coming in the next 3mo that would seem to inspire higher prices for BRK, but the market always makes a fool of me.

You mentioned implied interest rates on Jan26 calls being about 100-150bps lower than Jan25 calls in post a month or two back. Boy have those spreads collapsed! I looked yesterday and implied was virtually equal across both at 7.7-8.0% on the lowest strikes. Mirrors what I see in my day job with longer duration rates moving higher even without additional central bank increases. Market guessers seem to believe higher rates are here to stay a bit longer than they thought, for now any way. I will to need to see some pretty low Brk valuations before I jump back in to any long dated calls at these rates.

Jeff
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This community has written 21,448 posts about Berkshire Hathaway. The article-length ones it recommended most:
BRK: Why Not XOM? · 62 recs · 2024
Second quarter comments · 60 recs · 2023
Berkshire's Profit Contributors · 57 recs · 2023
Summary of 2Q 2026 · 54 recs · 2026
3Q Summary · 53 recs · 2024
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