Blogging Options: CBOE Morning Update 3.10.14

US stock futures off fractionally, Asian stocks down sharply, Europe mixed.  Daylight savings – it was dark this morning on the way in.  Decent option volume Friday. ~ 7,000 VIX Futures trade so far this morning in pre-market session.

Volatility as an asset class

Boeing (BA) is down $1.57 to $129.67 in the premarket on the inspection of undelivered 787s wings for cracks and Malaysia Airlines 777 crash.  Overall option implied volatility of 22 is near its 26-week average of 23 according to Tra4 to $69.30 after the company pre-announced weaker than expected Q4 results. Overall option implied volatility of 25 is near its 26-week average of 26.

Ballard Power (BLDP) is up $0.65 to $5.93 in the premarket as the fuel cell company trades near six-year highs. Overall option implied volatility of 107 is above its 26-week average of 85 according to Track Data, suggesting large price movement.

Options expected to be active @ CBOE: BA FCEL BLDP PLUG URBN FB

CBOE S&P 500 BuyWrite Index (BXM) at 1049, compared to its 50-day moving average of 1022.46 cboe.com/BXM

CBOE DJIA BuyWrite Index (BXD) at 258.51, compared to its 50-day moving average of 254.05 cboe.com/micro/bxd/

CBOE S&P 500 Short-Term Volatility Index (VXST) at 12.74, compared to its 10-day moving average of 13.28. VXST is a market-based gauge of expectations of 9-day volatility cboe.com/vxst

iPath S&P 500 VIX Short-Term Futures (VXX) is up 12c to 44.02 in the premarket.

CBOE Volatility Index (VIX) at 14.11, compared to its 10-day moving average of 14.26 and its 50-day moving average of 14.59 cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is down $0.28 to $188 on Chinese exports dropping 18.1% on year in February vs growth of 10.6% in January.

Calls with increasing volume at CBOE:

GDX 3/22/2014 27 23K contracts
SPY 3/7/2014 188 21K
KR 4/19/2014 46 12K
AAPL 3/7/2014 530 11K
GDX 6/21/2014 27.50 11K