Options
What day of the week are options contracts supposed to expire on? (Monday, Tuesday, Wednesday ect.)
Friday
What is a stock?
A piece/share of a company
Are high interest rates usually good or bad for the markets?
Bad
Do tariffs promote or restrict trade?
Restrict
What are bonds?
If you think a stock will go down what kind of option should you buy? (Call / Put)
Put
Which large company in the Mag 7 has dropped the most in the past couple of weeks?
Meta
How do low interest rates affect the market?
It spurs the markets by encouraging spending.
What are tariffs?
A tax on imported goods
Why should you stay diversified with stocks in markets?
In order to withstand dips in the market and have consistent returns.
How many stocks are in an options contract?
100
What does "P" and "E" in the phrase "P/E Ratio" mean?
Price / Earnings
What is the name of the government entity or person that controls interest rates?
The Fed (Federal Reserve) / Jerome Powell
Which countries have gotten the worst tariffs from Trump?
Anyone of these is correct: China, Brazil, India
Why did the government shut down?
Because Congress couldn't pass legislation for funding
Complete this statement (___ /ask spread)?
Bid/ask Spread
Explain what the earnings season is?
A 4-6 week period where all the biggest companies release earnings every quarter.
What is the "official" name for interest rates?
Federal Funds Rate
What did trump recently say he was going to do with recent tariff revenue?
He is going to give each household 2,000 dollars
Who stops getting paid if there is a government shutdown? Give me one job.
When paying for a options premium you pay for the sum of the ____ value and the ____ value?
Intrinsic / Time (Extrinsic)
Give me the names of 4 companies in the Mag 7?
Amazon, Nvidia, Tesla, Microsoft, Meta, Alphabet(Google), Apple
Explain what interest rates do to banks?
A high interest rate makes borrowing money from the Reserve more expensive and a low interest rate does the opposite. This leads to cheaper or more expensive money affecting profitability of the bank.
Why have there always been major tariffs on foreign cars?
Since american car companies can't compete with far lower foreign prices.
If you start from nothing and invest $100 a month till you retire how much will you have if you invest in the S&P 500 getting 10% per year? (Gotta be within +- $50K)
$862,000 if you invested
$54,000 if you didn't