Blogging Options: CBOE Mid-day Update

Volatility as an asset class

Best Buy (BBY) is recently up 14c to $16.55 on the company expecting upcoming Q1 to be under pressure. March call option implied volatility is at 49, April is at 49, May is at 46, June is at 51; compared to its 26-week average of 58.

Deckers Outdoor (DECK) is recently up $5.79 to $46.24 as the shoe retailer reported better than expected Q4 results and improving inventory. March call option implied volatility is at 51, April is at 46, June is at 47; compared to its 26-week average of 62.

Apple (AAPL) is recently down $6.58 to $434.92 after David Einhorn of Greenlight Capital Management withdrew its lawsuit against the company. March 445 weekly calls and puts are active on total volume of 485K contracts at the CBOE. Overall option implied volatility of 29 is below its 26-week average of 32.

CBOE S&P 500 2% OTM BuyWrite Index (BXY) is recently up 2.95 to 1236, above its 10-day moving average of 1229.38. www.cboe.com/BXY

Active options at CBOE: AAPL BAC NFLX BP HPQ GOOG C CRM SD.

CBOE Volatility Index (VIX) is recently down 18c to 15.33. VIX March 14 puts and March 19 calls are active on total option volume of 344K contacts at the CBOE.

S&P 100 Options (OEX) is recently up $1.34 to $683.88 as the sequester deadline passed without a deal to avoid government cuts.