Blogging Options: CBOE Morning Update 7.29.13

Volatility as an asset class

Wynn Resorts (WYNN) is down $1.46 to $129.51 in the premarket on a smaller than expected profit growth at its Macau operations. Overall option implied volatility of 33 is above its 26-week average of 27.

Hertz Global (HTZ) is off $0.78 to $26.11 after the car-rental company reported Q2 net profit rising 31%. Overall option implied volatility of 37 is near its 26-week average of 36.

Norwegian Cruise Line (NCLH) closed at $30.97 into a Q2 earnings beat of 2c and narrowing guidance. Overall option implied volatility of 40 is near its 26-week average of 38.

Saks (SKS) is up $0.59 to $15.90 after agreeing to be purchased by Hudson’s Bay Co. for about $2.8B, $16 a share.  Overall option implied volatility of 35 is near its 26-week average of 36.

Stocks expected to be active @ CBOE; HLF IPG  LNKD ELN TOT SKS FB ZNGA

CBOE S&P 500 BuyWrite Index (BXM) closed at $960.20, above its 50-day moving average of 956.39. www.cboe.com/BXM

CBOE Volatility Index (VIX) closed at 12.72, below its 10-day moving average of 13.21, and its 50-day moving average of 15.33. www.cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is recently down $0.38 to $168.72 into this week’s Fed meeting and July’s employment report.

Calls with increasing volume at CBOE Friday included:

SPY 7/26/2013 169 27K contracts
VXX 8/30/2013 23 14K
FB 7/26/2013 34 13K
UUP 8/17/2013 22 10K
IWM 7/26/2013 104 9K
XLF 8/9/2013 21 8K
AAPL 7/26/2013 440 8K

Busy news week with Employment Friday. Asian stocks lower, commodities dip.