Blogging Options: CBOE Morning Update 9.3.13

Volatility as an asset class

Nokia (NOK) is up $1.57 to $5.47 in the premarket on Microsoft (MSFT) purchasing Nokia’s cellphone business in a $7B deal.  Overall option implied volatility of 53 is below its 26-week average of 60.

Microsoft (MSFT) is down $1.58 to $31.82 in the premarket. Overall option implied volatility of 25 is above its 26-week average of 21.

Vodafone (VOD) is off $0.60 to $31.75.  Overall option implied volatility of 30 is above its 26-week average of 25.

Options expected to be active @ CBOE; NOK MSFT BBRY ALU FB JCP CCL TSLA

CBOE S&P 500 BuyWrite Index (BXM) closed at $946.30, below its 50-day moving average of 954.96. www.cboe.com/BXM

CBOE Volatility Index (VIX) closed at 17.01, above its 10-day moving average of 15.67 and its 50-day moving average of 14.56. www.cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is up 1.47 to $165.12 on potential Syria military action delayed.

Calls with increasing volume at CBOE:

SPY 8/30/2013 164 33K contracts
AAPL 8/30/2013 490 9K
VXX 8/30/2013 17 9K
FB 8/30/2013 42 5K

Puts with increasing volume at CBOE:

SPY 9/6/2013 160 86K
EEM 12/21/2013 38 27K

CBS & Time Warner reach an agreement, football on TV still a go for the NFL season.