Blogging Options: CBOE Mid-Morning Update

Volatility as an asset class

Netflix (NFLX) was down $14.67 in the premarket on concerns over Q2 subscriber growth. May call option implied volatility is at 86, June is at 68; compared to its 26-week average of 67.
US Steel (X) reported Q1 adj EPS 67c, consensus 45c. Overall option implied volatility of 52 is near its 26-week average.

AT&T (T) was up 29c to $31.90 after reporting Q1 EPS 60c, consensus 57c. AT&T (T) overall option implied volatility of 16 is below its 26-week average of 19.

CBOE Volatility Index-VIX closed at 18.96, 10-day moving average is 18.85, 50-day moving average is 17.40.
Stocks with significant call volume increases;
SNDK 7/21/2012 40 11K contracts

BAC 5/19/2012 9 6K

NOV 6/16/2012 85 6K005

AAPL 5/19/2012 600 5K 803

KOG 5/19/2012 7.5 5K

DHI 5/19/2012 15 5K

CLX 1/18/2014 75 5K

The DJIA climbed above 13,000 mid-morning, helped by strong action from MMM and IBM raising it’s dividend. Home sales were lower, market on edge awaiting Apple results.

CBOE Options Institute in St Paul Minnesota tonight giving a free seminar on Index options. Come on by if you’re free, the fun starts at 6:00pm.