Blogging Options: CBOE Morning Update

Volatility as an asset class

United Technologies (UTX) board increased its Q3 dividend by 11.5% to 53.5c per common share. Overall option implied volatility of 29 is above its 26-week average of 25.
Facebook (FB) June put option implied volatility is at 61, August is at 67, September is at 65; above its 13-day average of 59.
Edwards Lifesciences (EW) is recently up 96c to $91.50 after the company’s Sapien heart valve received FDA panel backing. Overall option implied volatility of 47 is above its 26-week average of 38.

Calls with increasing volume at CBOE.
SPY 6/16/2012 133 19K contracts

IWM 6/16/2012 77 16K

QQQ 6/16/2012 63 13K 955

YHOO 7/21/2012 18 13K
JPM 1/19/2013 13K

U.S. equities are higher on thin trading. Spain’s 10-year debt hits record 7% rate. U.S. May Consumer Prices declining 0.3%. Core Rate up 0.2%. Greek election results Sunday.
CBOE Volatility Index-VIX closed at 24.27 above its 10-day moving average of 23.65.

Happy Flag Day – started in 1777 by Congress. Triple Witch starts this afternoon.