There’s No Magic Cure for IBM Stock’s Brutal Selloff, But This 1 Options Trade Comes Pretty Close

You know what happened by now. International Business Machines (IBM) proved on Tuesday that a gruesome, single-day plunge can hit anyone, at any time. IBM’s sudden jackknife of a stock move feels akin to getting hit by a truck. And while the initial panic has faded, the wreckage remains.

IBM’s 25% dive was its worst one-day drop since 1968. The stock erased $65 billion in market value in a single session. The failure did not stem from a broad economic slowdown, but from a dramatic, overnight shift in how big businesses are spending their cash.