Blogging Options: CBOE Morning Update

Volatility as an asset class

VMware (VMW) is down $17.07 to $81.25 in the premarket after saying it would reduce about 900 jobs as its revenue growth slows this year. Overall option implied volatility of 36 is below its 26-week average of 40.

Yahoo (YHOO) is up $0.63 to $20.92 after reporting Q4 sales beat analyst expectations. Overall option implied volatility of 36 is above its 26-week average of 28.

Seagate (STX) is off $2.24 to $35.16 in the premarket on Q2 earnings falling 13%. Overall option implied volatility of 44 is near its 26-week average of 43.
CBOE DJIA Volatility Index (VXD) closed at 12.46, below 50-day moving average of 14.41:

CBOE Volatility Index (VIX) closed at 13.57, above its 10-day moving average of 13.05, and its 50-day moving average of 15.59.

Calls with increasing volume at CBOE Monday included:

SD 3/16/2013 8 10K contracts
FB 2/16/2013 35 9K
GGC 2/16/2013 60 8K
SPY 2/8/2013 153 7K
IWM 2/16/2013 93 6K
CI 4/20/2013 45 5K
AIG 5/18/2013 40 5K 

Ford (F) beat on revenue and EPS, off fractionally. Pfizer (PFE) up $0.16 to $27 after reporting $0.47 versus an expected $0.44. Will AAPL new ipad help the shares? S&P Futures off 4.75, DJIA Futures off 23 points in the premarket after indices fell slightly yesterday but remained at five year highs into Wednesday’s FOMC meeting results.