Blogging Options: CBOE Morning Update 4.10.14

VXST starts today, scroll down to see a short recap of its capabilities. Overseas markets mixed – oil down and metals higher.  Economic data in China and Japan poor, US data mixed.

Volatility as an asset class

Costco (COST) is up $1.32 to $114.27 in the premarket on light volume, after reporting March total company SSS up 5%. Overall option implied volatility of 18 is at its 26-week average.

eBay (EBAY) is down $0.69 to $55.20 on the internet reseller and Carl Icahn settling a proxy contest, with a PayPal spin-off proposal being withdrawn, CNBC says.  Overall option implied volatility 29 is near its 26-week average of 28.

Chevron (CVX) is off $1.40 to $117.66 in the premarket after reported in its interim update that earnings for the Q1 2014 are expected to be lower than Q4 2013, as a result of adverse foreign exchange effects, and selected asset impairments and related charges. Overall option implied volatility of 15 is at its 26-week average.

Options expected to be active @ CBOE: EBAY RAD FB WFC JPM BBBY GILD GM

CBOE S&P 500 PutWrite Index (PUT) at 1412.87, compared to its 10-day MA of 1406.19 and its 50-day moving average of 1387.57. cboe.com/PUT

CBOE S&P 500 BuyWrite Index (BXM) at 1050.36, compared to its 10-day moving average of 1045.19 cboe.com/BXM

CBOE DJIA BuyWrite Index (BXD) at 259.90, compared to its 50-day moving average of 255.36 cboe.com/micro/bxd/

CBOE S&P 500 Short-Term Volatility Index (VXST) at 12.69, compared to its 10-day moving average of 13.67. 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 0.21 to 41.29 in the premarket.

CBOE Volatility Index (VIX) at 13.82, compared to its 10-day moving average of 14.07 and its 50-day moving average of 15.11 cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is down 0.34 to $186.75 into the start of bank earnings season on Friday, with JPMorgan and Wells Fargo reporting.

Calls with increasing volume at CBOE:
EWJ  6/21/2014  12    252K contracts
SPY  4/19/2014 190 10K
MET 5/17/2014   55 55K
XLK  6/21/2014   39 43K
FB    5/17/2014    65 40K
GM  6/21/2014    39 23K
XOM 5/17/2014 100 21K