Blogging Options: CBOE Morning Update

Volatility as an asset class

Akamai (AKAM) is up $3.48 to $39.60 after reporting strong Q3 results, solid outlook, and revenue re-acceleration. Overall option implied volatility of 57 is above its 26-week average of 42.

Best Buy (BBY) is down $0.92 to $16 after saying Q3 results will be ‘significantly below’ prior year. Overall option implied volatility of 59 is above its 26-week average of 51.

Symantec (SYMC) is up $1.42 to $18.80 after posted better than expected Q2 earnings citing an increase in total bookings. Overall option implied volatility of 43 is above its 26-week average of 35.

Wynn Resorts (WYNN) is up $4.21 to $116.50 on announcing an $8 cash dividend which includes a 50c per common share quarterly dividend. Overall option implied volatility of 34 is near its 26-week average of 36.

CBOE Volatility Index (VIX) closed at 18.33. VIX closed above its 10-day moving average of 16.31 and 50-day MA of 15.60.

Calls with increasing volume at CBOE;

SPY 11/17/2012 142 13K contracts
F 10/26/2012 10.5 11K
BAC 12/22/2012 10 10K
MGM 11/17/2012 11 10K
TLT 11/17/2012 125 10K
AET 11/17/2012 45K 7K
INTC 1/19/2013 21 7K

U.S. stocks are trading higher on corporate results and Week of 10/20 Jobless Claims of 369K vs. consensus of 372K. Durables were flat after removing aircraft orders, thank you Boeing.