Blogging Options: CBOE Morning Update

Volatility as an asset class

NetApp (NTAP) is recently up $3.37 to $43.25 in the premarket following the company reporting double-digit sales growth. Overall option implied volatility of 62 is above its 26-week average of 47.
 
Blue Nile (NILE) is recently down $9.83 to $32 in the premarket following Q4 earnings dropping 32% as the online jeweler saw weak U.S. engagement sales. Overall option implied volatility of 61 is above its 26-week average of 56.
 
Nvidia (NVDA) is recently down $1.10 to $15.07 in the premarket following a Q4 profit decline of 32%. Overall option implied volatility of 50 is below its 26-week average of 56
 
CBOE Volatility Index-VIX closed at 21.14, 10-day moving average is 18.77, 50-day moving average is 21.63.
 
 
Stocks with significant put volume increases;

FCX 2/18/2012 41 20K contracts

AAPL 2/18/2012 500 18K

BAC 5/19/2012 7 15K

RIMM 2/18/2012 15 10K

U.S. equities are mixed to lower on Greece and Moody’s Investor Services review of global banks.

PPI was up 0.4% which was above estimates. Weekly Jobless claims were slightly lower, Housing Starts were up modestly. GM earnings matched the previous quarter, but large losses in Europe disappointed.