Residential real estate prices declined in October, the largest MoM decline since July; Traders pivot bullish
What Parcl Traders Need to Know
Seventeen tradable North American Parcl markets finished October down close to 1%, in aggregate. The average performance was -0.8% vs. September in ppsft terms. This compares to -0.02% MoM in September and -0.3% MoM in August.
Some residential real estate markets, such as Boston, Philadelphia, and Chicago, experienced meaningful price declines MoM, while Denver, Miami Beach, and Portland were the MoM outperformers. The USA price feed gained 1.8% MoM.
Denver moves into pole position in YTD performance at +13.8%, outpacing Miami Beach (+12.0%) and Boston (+10.6%). The USA price feed is fourth overall in YTD performance at +10.7%.
Total October open/close volume was over $200,000 USDC (over $1M notional exposure), an all-time-high by over 12%.
Parcl traders exited October leaning long; the aggregate split across all pools exited the month at 55% long / 45% short. This was up meaningfully from 90% short skew exiting September.
Total open interest (OI) across all Parcl pools ended October above $310,000 in USDC terms, just off an all-time-high set the prior week.
Paris and Ile-De-France are the most recently launched markets on Parcl. Stay tuned for more global locations coming soon!
