Blogging Options: CBOE Mid-day Update 5.20.2013

Volatility as an asset class

Accenture (ACN) is recently up 51c to $82.75 after the consulting company acquired Acquity
Group for $316M and was upgraded to Buy from Neutral at Goldman Sachs. June call option implied volatility is at 16, July is at 19, August is at 18; compare to its 26-week average of 22.

JA Solar (JASO) is recently up $2.72 to $8.33 after the Chinese solar-products maker said shipments rose 21%. June call option implied is at 91, July is at 83, September is at 79; compared to its 26-week average of 77.

Boeing (BA) is recently up 11c to $99.03 as Dreamliner 787 resumes flights today in the U.S.  June and July call option implied volatility is at 19, August is at 20, November is at 21; compared to its 26-week average of 22.

Pandora (P) is recently up 60c to $16.65 after the internet provider of music was upgraded to Equal Weight from Underweight at Barclays.  June call option implied volatility is at 77, July is at 64, September is at 61; compared to its 26-week average of 63.

June front month equity options expire June 21, 2013

CBOE S&P 500 2% OTM BuyWrite Index (BXY) is recently up 1311, above its 10-day moving average of 1302.97 and its 50-day moving average of 1282.46. www.cboe.com/BXY

Actives:  AAPL FSLR MRK MNKD APA GS TSLA C GOOG

CBOE Volatility Index (VIX) is recently up 46c to 12.91. VIX June 15, 18 and 20 calls are active on total option volume of 471K contacts at the CBOE.

CBOE DJIA Volatility Index (VXD) is recently up 4.2% to 11.93. www.cboe.com/VXD

S&P 100 Options (OEX) is recently up 1.24 to $748.96 on investor expectations for an improving global economy.