CBOE Mid-Day Update 4.21.14

Volatility as an asset class

Pinnacle Entertainment (PNK) is up $1.81 to $23.90 on the company says will continue to ‘review all strategies’.  May call option implied volatility is at 41, June is at 35, December is at 33; compared to its 26-week average of 33.

Micron (MU) is higher by $1.10 to $25.01 on Drexel Hamilton raising its rating to Buy and increasing its price target to $50 from $30 due to higher pricing and margin trends. April weekly call option implied volatility is at 49, April is at 62, May is at 41, July is at 40; compared to its 26-week average of 46.

Newmont Mining (NEM) is up $1.14 to $24.70 after WSJ says the company and Barrick Gold (ABX) could resume merger talks as soon as today. May call option implied volatility is at 37, July and September is at 33; compared to its 26-week average of 34.

Actives at CBOE:  AAPL TSLA ABX AMZN FB BAC TWTR NFLX SD ZNGA VZ

Stocks with increasing volume: SBAC SMH URA OTEX AXAS SCSS CPN FXEN JNS F MO WLT MNKD AA

CBOE S&P 500 Short-Term Volatility Index (VXST) up 15.1% to 13.44, compared to its 10-day moving average of 14.01. VXST is a market-based gauge of expectations of 9-day volatility stks.co/r0CS2

CBOE DJIA BuyWrite Index (BXD) up 0.2% to 260.89, compared to its 50-day moving average of 257.04. cboe.com/micro/bxd/

CBOE Volatility Index (VIX) down 2.9% to 13.77. VIX May 18 and 16 puts are active at CBOE on 54K contracts cboe.com/VIX

iPath S&P 500 VIX Short-Term Futures (VXX) down 65c to 41.09

CBOE DJIA Volatility Index (VXD) up 3.5% to 12.85; compared to its 50-day moving average of 13.91.

CBOE Nasdaq-100 Volatility Index (VXN) down 0.3% to 19.34; compared to its 50-day moving average of 17.15

S&P 100 Options (OEX) recently up 1.70 to $827.46 with the NASDAQ sliding back down into the red and pulling the blue chips off their earlier highs as Ukraine jitters remain a feature.