According to Goldman Sachs Group Inc (NYSE:GS), roughly $3.5 trillion of single-stock and index-level options will expire in a quarterly event, dubbed triple witching, reports Bloomberg. Concurrently, more near-the-money options are maturing than ever since 2019, suggesting investors will actively trade around those positions.
The triple witching coincides with a rebalancing of benchmark indexes, including the S&P 500. According to an estimate from a senior index analyst at S&P Dow Jones Indices, the rebalance in the index alone could spur $33 billion of stock trades.
