Blogging Options: CBOE Morning Update

Volatility as an asset class

Facebook (FB) is up $0.54 to $28 in the premarket following the announcement the company will be joining the Nasdaq-100 index on Dec. 12, replacing Infosys (INFY). Overall option implied volatility of 53 is near its 26-week average of 55.

Pandora (P) is down $1.53 to $7.90 in the premarket after lowering 2013 guidance. December put option implied volatility is at 110, January is at 95, March is at 94; above its 26-week average of 65.

Walgreen (WAG) is down 33c to $33.94 in the premarket after reporting November SSS were down 6.2%, November sales of $5.85B. Overall option implied volatility of 22 is near its 26-week average of 23.
 
CBOE Volatility Index (VIX) closed at 17.12, above its 10-day moving average of 15.71, and its 50-day moving average is 16.49.

SPDR S&P 500 ETF Trust (SPY) is up fractionally to $141.53 in the premarket as Chinese stocks move higher on hopes for economic growth.
 

Calls with increasing volume at CBOE;

YHOO 1/19/2013 15 40K
SPY 1/19/2013 148 12K
AAPL 12/7/2012 580 7K
BAC 12/7/2012 10 7K

 

BBY to accelerate Jan dividend into December.

ADP reported that November Private Employment gain was 118k, lower than the mid-120’s expected. October revised slightly lower to 157k. Manufacturing component was lower, Construction up.

November employment to be released Friday morning.