Blogging Options: CBOE Mid-day Update

Volatility as an asset class

Bank of America (BAC) is trading up 1c to $9.46 after announcing in line Q3 fee income and core expenses down 4% year over year. Overall option implied volatility of 37 is below its 26-week average of 40.

Bank of New York Mellon (BK) is recently up $1.15 to $24.74 after reporting a Q3 profit increase of 11%. Overall option implied volatility of 25 is below its 26-week average of 29.

U.S. Bancorp (USB) is recently up 54c to $34.14 after reporting Q3 revenue $5.18B, compared to consensus $5.14B. Overall option implied volatility of 21 is below its 26-week average of 23.

Textron (TXT) is recently down $1.89 to $24.57 after reports Q3 Cessna profit forecast. Overall option implied volatility of 44 is above its 26-week average of 39.

CBOE Volatility Index (VIX) is recently down 24c to 14.99. VIX November and December 15 calls are active on total option volume of 505K contacts at the CBOE.

U.S. stocks are higher at midday as September housing starts rose 15%.