Blogging Options: CBOE Mid-day Update 11.1.13

Volatility as an asset class

WellCare Health Plans (WCG) is recently down $4.96 to $61.73 are falling after the managed care services company reported Q3 results that beat analysts’ consensus estimates, but lowered its full year profit outlook. December call option implied volatility is at 25, January and March is at 26; compared to its 26-week average of 39.

General Motors (GM) is recently up 53c to $37.48 after reporting October U.S. sales rose 15.7% to 226K vehicles. December call option implied volatility is at 26, January and March is at 27; compared to its 26-week average of 28.

Ford (F) is recently down 21c to $16.90 after reporting October U.S. sales rose 14% to 191K vehicles. December call option implied volatility is at 23, January and March is at 22; compared to its 26-week average of 27.

Chevron (CVX) is recently down $2.76 to $117.21 after saying a drop in Q3 EPS primarily reflects lower margins for refined products. December call option implied volatility is at 12, January and March is at 13; compared to its 26-week average of 17.

Active options at @ CBOE: AAPL FSLR X ABX FB NFLX TSLA CLF NQ HPQ

New PM-Settled Mini-SPX Options (XSP) will be launched on November 5th at the CBOE. www.cboe.com/XSP

CBOE S&P 500 BuyWrite Index (BXM) is recently up 66c to $988.56, above its 50-day moving average of 965.96. www.cboe.com/BXM

CBOE DJIA BuyWrite Index (BXD) at 247.01, above its 50-day moving average of 243.50. http://www.cboe.com/micro/bxd/

CBOE Volatility Index (VIX) is recently up 5c to 13.80. VIX November 17 and 20 calls are active on total option volume of 95K contacts at the CBOE.

iPath S&P 500 VIX Short-Term Futures (VXX) are recently up 2c to 12.90.

CFE plans to further expand extended trading hours in VIX futures starting on Monday, November 4, 2013. Specifically, CFE plans to change the start time for the second extended trading hour’s period from 7:00 a.m. to 2:00 a.m. for Business Days Monday through Friday.

S&P 100 Options (OEX) is recently down 4c to $783.36 for the third day after Wednesday’s Federal Reserve statement.