Blogging Options: CBOE Morning Update

Volatility as an asset class

Caterpillar (CAT) is recently up $3.51 to $112.56 in the pre-market after reporting Q4 revenue of $17.24B vs. consensus $16.05B. Overall option implied volatility of 30 is below its 26-week average of 38.

3M Company (MMM) is recently up 88c to $87.36 in the premarket on better then expected Q4 results and the company seeing FY12 EPS $6.25-$6.50 vs. consensus $6.30. Overall option implied volatility of 21 is below its 26-week average of 30.

AT&T (T) is recently down 52c to $29.69 in the pre-market on the company seeing mid-single-digit or better earnings growth in 2012. Overall option implied volatility of 16 is below its 26-week average of 20.
 
United Continental (UAL) is recently up 69c to $21.10 in the market after reporting Q4 revenue $8.93B vs. consensus $8.94B. Overall option implied volatility of 46 is below its 26-week average of 55.
 
 
CBOE significant put volume increases;

S 8/18/2012 2 30K contracts
JNPR 2/18/2012 21 7K
BAC 2/18/2012 7 6K
AAPL 1/27/2012 445 6K
WY 3/17/2012 22 5K
AKS 2/18/2012 8.0000 4K
MMR 2/18/2012 9 4K
 
U.S. equities are mixed to higher as European stock index’s rally a day after the FOMC left rates unchanged.