Blogging Options: CBOE Morning Update 8.9.13

Volatility as an asset class

Gap (GPS) is down $1.00 to $44.52 in the premarket after the clothing retailer reported less than expected Q2 same-store. Overall option implied volatility of 33 is above its 26-week average of 29.

Monster Beverage (MNST) is showing little fizzle at $63.47 after the energy drink company on flat Q2 revenue growth.  August call option implied volatility is at 48, September is at 37, December is at 35; above its 26-week average of 40.

Priceline.com (PCLN) is up $61.08 to $994.84 in the premarket after the online-travel agent reported Q2 earnings increased 24%. August call option implied volatility is at 47, September is at 38; compared to its 26-week average of 33.

Noodles & Company (NDLS) is off $2.77 to $44.50 after the fast casual dining chain reported its first financial results since going public. Overall option implied volatility of 65 is above its ten-day average of 52.

Molycorp (MCP) is recently down $0.86 to $6.55 in the premarket after the rare-earth mining company reported a larger than expected Q2 loss. Overall option implied volatility of 82 is above its 26-week average of 73.

Ubiquiti Networks (UBNT) is up $5.83 to $27.03 after the discount networking company reported better than expected Q2 results.  Overall option implied volatility of 71 is above its 26-week average of 50.

Options expected to be active @ CBOE; BNNY BBRY CLNE DNDN DV DDS JCP MCP MNST NVDA ONXX RAX

CBOE S&P 500 BuyWrite Index (BXM) closed at $966.27, above 50-day moving average of 956.22. www.cboe.com/BXM

CBOE Volatility Index (VIX) closed at 12.73, below its 10-day moving average of 12.81 and its 50-day moving average of 15.17. www.cboe.com/VIX

Calls with increasing volume at CBOE:

SPY 8/17/2013 170 20K contracts
VXX 9/21/2013 22 15K
FXI 9/21/2013 38 14K
MSFT 8/17/2013 33 11K
PBR 9/21/2013 15 9K

SPDR S&P 500 ETF Trust (SPY) is recently up 38c to $169.42 on concerns of slowing European economic growth.  10-year near 2.59%, Asian markets mixed with NIKKEI flat, European stocks hiigher.  Summer afternoon yawner?