Blogging Options: CBOE Morning Update 4.7.14

Overseas markets soft as are US stock futures. Oil & gas off fractionally.  VIX Futures trade 7k in early session.  Earnings season begins in a few days.  NCAA Finals tonight, how does your bracket look?

Volatility as an asset class

Procter & Gamble (PG) is up $0.28 to $80.05 in the premarket after the consumer-products company raised its quarterly dividend by 7%. Overall option implied volatility of 14 is below its 26-week average of 16.

Sears Holdings (SHLD) is higher by $0.87 to $41.55 after completing its Land’s End spin-off, grossing $500M. Overall option implied volatility of 53 is near its 26-week average of 56.

World Wrestling Entertertainment (WWE) is down $0.42 to $27.60 in the premarket after announcing that WrestleMania 30 broke the record for the Mercedes-Benz Superdome’s highest grossing entertainment event and the company’s ultimate appeal could be overestimated, Barron’s says.

Options expected to be active @ CBOE: MNKD GM AA QCOM QCOR MNK INTC

CBOE S&P 500 PutWrite Index (PUT) at 1407, above its 10-day MA of 1405.11 and its 50-day moving average of 1384.09. cboe.com/PUT

CBOE S&P 500 BuyWrite Index (BXM) at 1045.08, compared to its 10-day moving average of 1044.28 cboe.com/BXM

CBOE DJIA BuyWrite Index (BXD) at 258.91, compared to its 50-day moving average of 254.89 cboe.com/micro/bxd/

CBOE S&P 500 Short-Term Volatility Index (VXST) at 13.18, compared to its 10-day moving average of 13.81. 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 recently up 50c to 42.34 in the premarket.

CBOE Volatility Index (VIX) at 13.96, compared to its 10-day moving average of 14.04 and its 50-day moving average of 15.26 cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is down $0.44 to $185.93 after weakness in momentum stocks last week sent the NASDAQ index to February levels.

Calls with increasing volume at CBOE:

SPY   4/11/2014 190  49K contracts
XLK   6/21/2014  39   30K
KRE   6/21/2014  43   17K
ETFC 5/17/2014  24  15K

Puts with increasing volume at CBOE:

SPY  4/25/2014  183  46K contracts
EEM 6/21/2014    35  32K
IYR   4/19/2014   67   21K
XLE 5/17/2014    90   15K