Blogging Options: CBOE Morning Update 11.4.13

Volatility as an asset class

Kellogg (K) is up $2.35c to $64.64 in early trading after the food sees FY13 EPS at low-end of $3.75-$3.84, consensus $3.77. Overall option implied volatility of 65 is near its 26-week average of 64.

Extreme Networks (EXTR) is up $0.90 to $6.27 after the networking company sees Q2 adjusted EPS 14c-16c, consensus 6c.  Overall option implied volatility of 48 is below its 26-week average of 60.

Alcatel-Lucent (ALU) is down $0.06 to $3.83 after the network-gear maker announced plans to raise $2.7B. Overall option implied volatility of 65 is near its 26-week average of 64.

Sysco (SYY) is up $1.29 to $33.95 after the food distributor reported Q1 adjusted EPS 49c, compared to consensus 48c. Overall option implied volatility of 19 is above its 26-week average of 17.

Options expected to be active @ CBOE; BBRY AAPL ALU UBS JCP BBRY FSLR GOOG TSLA FB

CBOE S&P 500 BuyWrite Index (BXM) is higher by $0.84 to $990.42, above its 50-day moving average of 965.98. www.cboe.com/BXM

CBOE DJIA BuyWrite Index (BXD) is up $0.10 to 247.37, above its 50-day moving average of 243.30. http://www.cboe.com/micro/bxd/

CBOE Volatility Index (VIX) is up 0.35 to 13.63, near its 10-day moving average of 13.36 and below its 50-day moving average of 15.15. www.cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is up 0.15 to $176.36 after four straight week gains.

Calls with increasing volume at CBOE:

SPY 11/1/2013 176 29K contracts
BAC 12/21/2013 14 14K
VXX 12/6/2013 17 14K
DIA 11/16/2013 157 10K
AAPL 11/1/2013 520 9K
IWM 11/1/2013 108.50 8K

Twitter indicates that their IPO looks to be a little higher.  Big data later in the week.