Blogging Options: CBOE Morning Update

Volatility as an asset class

HCA Holdings (HCA) is up $0.99 to $32.74 in the premarket after announcing intention to declare special $2.00 cash dividend. Overall option implied volatility of 35 is near its 26-week average.

Dish Network (DISH) is down $1.00 to $36 after declaring a non-recurring dividend of $1.00 per share. Overall option implied volatility of 36 is near its 26-week average.

Cato Corp. (CATO) closed at $29.06 into announcing a special dividend of $1. Overall option implied volatility of 46 is above its 26-week average of 40.

SPDR S&P 500 ETF Trust (SPY) is recently trading up $0.58 to 142.73 in the premarket as international markets rally. Part of that on better than expected Chinese economic news. Commodity prices moving higher. VIX starts the day at 15.87.

CBOE Volatility Index-VIX closed at 15.87, above its 10-day moving average of 15.50, and below 50-day moving average is 16.37.

Calls with increasing volume at CBOE;

SPY 11/30/2012 142 25K contracts

AAPL 11/30/2012 585 13K

ZNGA 11/30/2012 2.5 10K