Blogging Options: CBOE Mid-day Update 9.3.13

Volatility as an asset class

Starbucks (SBUX) is recently up $1.44 to $71.96 after Moody’s put the coffee provider’s rating up for review. July weekly call option implied volatility is at 22, October is at 21, January is at 23; compared to its 26-week average of 23.

Tesla Motors (TSLA) is $2.86 to $171.89 after rallying over 410% this year, 54% in the last two-months and 25% in the last month. Overall option implied volatility of 61 is above its 26-week average of 57.

Netflix (NFLX) is recently up $4.21 to $288.20 after rally 287% in the last year. Overall option implied volatility of 45 is below its 26-week average of 54.

CBOE Interest Rate 5 Year Note (FVX) is recently up 6.7% to 17.08 as Treasury rates move up on renewed tapper speculation.

CBOE Crude Volatility Index (OVX) is recently up 0.6% to 28.27 as WTI Crude oil trades $108. http://www.cboe.com/ovx

CBOE S&P 500 2% OTM BuyWrite (BXY) is recently up 0.4% to 1271, below its 50-day moving average of 1288.24. www.cboe.com/BXY

Actives: NOK MSFT AAPL FB JPM BAC MGM TSLA C

CBOE Volatility Index (VIX) is recently up 3c to 17.04. VIX September 20 and 27 calls are active on total option volume of 251K contacts at the CBOE.

iPath S&P 500 VIX Short-Term Futures (VXX) is recently down 3.1% to 16.52.

S&P 100 Options (OEX) is recently up $2.18 to $733.10 below its intra-day high of $738.20 after Republican leaders in the House voiced support for military intervention in Syria.