Blogging Options: CBOE Morning Update 6.4.13

Volatility as an asset class

Dollar General (DG) is down $3.50to $50.05 in the premarket after the discount retailer lowered guidance for the year.  June call option implied volatility is at 32, July is at 28, August is at 25; compared to its 26-week average of 27.

General Motors (GM) is up 93c to $35.35 in the premarket on the auto manufacturer to be added to S&P 500 as Heinz (HNZ) is deleted as of 6/6 close. Overall option implied volatility of 30 is near its 26-week average of 31.

AIG (AIG) is up 56c to $45.31 in the premarket on the global insurer to be added to the S&P 100 as Baker Hughes (BHI) is deleted as of 6/6 close. Overall option implied volatility of 32 above its 26-week average of 29.

VIX methodology for iShares Silver Trust (VXSLV) closed at 35.59; above its 50-day moving average of 33.20.

CBOE VIX methodology for Market Vectors Gold Miners Fund (VXGDX) closed at 43.45, above its 50-day moving average of 39.17.

Options expected to be active on open at CBOE; GM F AIG FB ZNGA GOOG TSLA

CBOE S&P 500 BuyWrite Index (BXM) closed at $960.81, below its 10-day moving average of 963.06 and its 50-day moving average of 954.60. www.cboe.com/BXM

CBOE Volatility Index (VIX) closed at 16.28, above its 10-day moving average of 14.46, and its 50-day moving average of 13.72. www.cboe.com/VIX

CBOE VIX futures May at 16, Aug at 17.75, Feb 20.50‏
SPDR S&P 500 ETF Trust (SPY) is recently up 6c to $164.43 as stocks consolidate after recent gains.

Calls with increasing volume at CBOE:

SPY 9/21/2013 180 41K contracts
VXX 6/7/2013 20 27K
XLF 7/20/2013 21 20K
INTC 6/22/2013 26 12K
BAC 6/7/2013 14 9K

Trade Deficit fell slightly

20 Tuesday’s in a row we’re higher?