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November 29, 2012  Thu 7:17 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
Stocks are climbing today as optimism returns and after refusing to sell off yesterday.

The S&P 500 is indicated to open higher by more than half a percent, following similar gains in Europe. Asian markets also rallied overnight after the S&P 500 rallied back from a decline of almost 1 percent yesterday to close positive.

Sentiment is improving as investors anticipate strong monthly sales data from retailers and hope for a resolution to the budget fight in Washington. A survey of economic confidence in the Euro zone also came in better than expected, breaking eight months of declines.

At 8:30 a.m. ET, the U.S. government will release jobless claims and revised third-quarter gross domestic product figures. Both are expected to show improvement over previous reports. (See related story)

Commodities also reflect a willingness to take risk. Oil and copper, which are highly sensitive to the economic mood, are higher by more than 1 percent. Gold and silver are up more than half a percent, while most agricultural foodstuffs are higher.

Foreign-exchange trading is modestly bullish, with the euro edging higher and the Japanese yen losing value.

In company-specific news, retailer Aeropostale is down by almost 9 percent in early trading after issuing weak guidance for the fourth quarter. Guess rose 7 percent on news of a special dividend, and Research In Motion is up by more than 10 percent as investors continue to bet on a rebound in the stock, which hit a nine-year low in September.
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The Movement of Delta

In our last column, we spoke about delta. You might remember that we discussed what delta was and what factors affected or changed delta. As you recall, we stated that three factors will have an effect on delta. They were movements of time, volatility, and underlying price. Today, we want to take a further look into the change of delta, this time focusing on change due to the movement in the underlying price. 

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