Blogging Options: CBOE Mid-day Update

Stock Mover’s
 
Research in Motion (RIMM) is recently up $1.28 to $13.79 after the Wall Street Journal reported that Microsoft (MSFT) and Nokia (NOK) considered a joint bid for the company. January call option implied volatility is at 77, February is at 81; above its 26-week average of 61.
 
CarMax (KMX) is recently down $2.11 to $28.96 after reporting earnings that missed Street estimates. January and February put option implied volatility of 34 is below its 26-week average of 42.

Oracle (ORCL) is recently down $4.06 to $25.11 after reporting earnings that missed Street estimates. January put option implied volatility is at 35, February is at 37, March is at 37; compared to its 26-week average of 33.

VMware (VMW) is recently down $10.46 to $74.97 after Oracle (ORCL) missed Q2 expectations. January put option implied volatility is at 44, February is at 49; above its 26-week average of 43.
 
Volatility as an asset class

CBOE Volatility Index down 2% to 22.53; lowest level since August 2, 2011. VIX 100-day moving average is 25.74, 200-day moving average is 30.02.

Investors are taking profits from yesterday’s gains following disappointing existing home sales revisions and the continuing debate over the measures being taken to shore up banks in Europe.