iPhone Announcement, the VXAPL Index and Implied Vol of AAPL

A news report in today’s Los Angeles Times noted –

“Tech geeks and average consumers alike are quivering in anticipation of Apple’s expected unveiling Wednesday of the iPhone 5. Speculation is raging. Will the rumored smartphone kill the PC? Will it be affordable? … But analysts at J.P.Morgan have an even more intriguing question: “Can one little phone affect GDP?” … Chief economist Michael Feroli believes sales of the smartphone could potentially add as much as half a percentage point to annualized gross domestic product growth in the fourth quarter. Roughly 8 million iPhone 5s will be sold over the period, … according to the report. …” (link)

A recent blog noted –

“Weekly option traders have set their sights on Apple Inc. (NASDAQ:AAPL – 664.10), with both calls and puts flying off the shelves. In fact, digging deeper into the data, it appears speculators may be employing both long puts and short calls to place neutral-to-bearish bets on the Silicon Valley sultan. During the course of Monday’s session, AAPL saw roughly 484,000 calls and 350,000 puts change hands, surpassing its average daily volume of around 424,000 calls and 264,000 puts. …” (link)




For many years investors have used the VIX® Index as real-time gauge of the implied volatility of the U.S. stock market.

Now investors also have a gauge of the implied volatility of AAPL stock, the

CBOE Equity VIX® on Apple (ticker – “VXAPL”), which is designed to measure the expected volatility of the Apple stock (ticker AAPL) www.cboe.com/VXAPL

Here are select recent daily closing values of the VXAPL Index —

17-Aug-2012 22.78

31-Aug-2012 27.72

4-Sep-2012 30.32

5-Sep-2012 29.76

6-Sep-2012 28.68

7-Sep-2012 28.56

10-Sep-2012 31.29


The VXAPL Index reached its all-time daily closing high of 54.63 on October 4, 2011.

In the time period from June 1, 2010 through Sept. 10, 2012, the average daily closing values were 32.4 for the VXAPL Index, and 22.1 for the VIX Index.

Here is a one-week chart on the VXAPL Index from www.cboe.com/VXAPL


For more information, including charts and downloadable price history, please visit www.cboe.com/VXAPL