Blogging Options: CBOE Mid-day Update

Volatility as an asset class

Hess Corp. (HES) is recently up $3.06 to $61.97 after the oil and gas company announced its pursuing the sale of its U.S. terminal network and exit refining business. February call option implied volatility is at 31, April is at 24; compared to its 26-week average of 32.

Jos. A. Banks (JOSB) is recently down $8.11 to $38.16 after the men’s retailer’s Q4 started slow, citing election and fiscal cliff as distractions. February put option implied volatility is at 39, March is at 32, April is at 38; compared to its 26-week average of 33.

Biogen (BIIB) is recently up $4.90 to $151.10 after the bio-tech company sees total FY13 revenue growth of about 10% on Avonex and Tysabri revenue confidence. February, March and April call option implied volatility of 21 is below its 26-week average of 29.

CBOE Emerging Markets ETF Volatility Index (VXEEM) is recently up 8.8% to 17.91, below its 50-day moving average of 20.97. www.cboe.com/VXEEM

CBOE Volatility Index (VIX) is recently up 5.4% to 13.59. VIX March 16 and 25 calls are active on total option volume of 141K contacts at the CBOE.

S&P 100 Options (OEX) is recently down 0.22% to $676.92 at midday into Tuesday’s FOMC meeting and Friday’s economic reports.