The US Stocks Aussies Traded in June 2020

June has come to an end as we get used to trading in the newly dubbed “kangaroo market”. It’s no wonder some Australian investors are choosing to invest in US stock markets through platforms like Stake.

While the market is just about even for the month, volatility is historically strong. Here’s what we saw trending on Stake and in the markets over the past 22 trading days.

Top 5 Most Traded Stocks on Stake in June

  1. Tesla (TSLA
  2. 2x Long Vol (TVIX)
  3. Hertz (HTZ)
  4. Apple (AAPL)
  5. Boeing (BA)

That Hertz 

That’s right, Hertz was one of our most traded stocks this month; the same Hertz that declared bankruptcy. While a portion of these traders included the sells of holders, the majority of traders were enjoying the ride up from $0.80 to $5.50 that the stock infamously saw. Certainly one of the crazier stocks of the month and some traders were left in a world of pain as the company has crashed back to ~$1.50.  

What’s Hot

While these stocks may not have made our top 5, they were some of the smaller names that quickly rose up the most traded rankings. All 3 stocks below are within our 30 most traded.

  1. Nikola Motors ($NKLA):  Named with a tongue in one cheek, this company plans to produce long distance vehicles powered by hydrogen fuel cells. Given the success of Tesla, renewably powered vehicles are hot on Stake. Traders have been rewarded as the stock ran from $10 all the way to $80 over the last 4-8 weeks.

  2. Teladoc ($TDOC): This one makes a lot of sense. An online doctors’ service that connects health care professionals with patients via video call. In a time when a waiting room is probably the least desirable real estate in the world, you can see why a company like this has promise. It’s up about 16% this month.
  3. Nio ($NIO): Again, here’s another vehicle company getting a lot of attention. Nio is a Chinese EV manufacturer with volatility as its middle name. The stock is up almost 200% from its March lows but is still 50% off its all time highs. A popular option amongst day traders.

Nature is Returning

Understandably, companies were hesitant to list in the first half of the year. Volatility and uncertainty in markets aren’t the most comforting combination of factors for those looking to raise capital. June saw a change of the tides with the biggest month of IPOs all year. Here are some of the biggest names to be added to exchanges.

Warner Music Group (WMG): With names like Stormzy and Ed Sheeran on their books, Warner Music records and publishes music from artists across the globe. It is the biggest IPO of the year so far.

Vroom (VRM): Buy, sell and trade cars all in one place. A US$6b company, the stock has been a hit with investors as it’s 12% up since IPO a few weeks ago.

Other names include Shift4 Payments and ZoomInfo Technologies.

Goodbye to an Old Friend

While we are seeing some new options on the exchanges, it’s time to say goodbye to some old acquaintances.

To some investors it was a portfolio hedge, to the braver traders amongst us it was a speculator’s dream. The uber-volatile $TVIX lived up to its name, as the 2x Leveraged Volatility product rallied from $40 to $800 throughout the market crash and has since decayed down to $150. Many fortunes were made and lost over the last few months but it will soon be a relic of the past.

Credit Suisse has decided to delist its product in an effort to optimise their offerings. Likely a product of the high costs to run a leveraged vol product, traders will no longer be able to get 2x exposure on volatility come July.

About Matt Leibowitz 

Matt launched Stake after returning to Australia from the US, and finding it difficult to continue trading US shares. Having run global trading teams in the most sophisticated financial markets using the most advanced technologies, Matt set out to open up the world’s biggest markets to the rest of the globe.

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