Bloging Options: CBOE Morning Update 4.24.14

Earnings are here.  CAT up $# and GM higher by $1 in early trading.  Durable Goods beat (BA orders up), Weekly claims slightly higher.  Gold off with reports of some fighting in Ukraine – go figure.  Traders a little sleepy eyed in Chicago as BlackHawks win late game in overtime.  Volatility as an asset class

Apple (AAPL) is up $44.80 to $569.25 in the premarket on better than expected Q2 results, a $30B increase in its share repurchase authorization, an 8% increase in its quarterly dividend to $3.29 per share, and a 7-for-1 stock split and Q2 iPhone sales totaled 43.7M, topping estimates.  April weekly call option implied volatility is at 64, May is at 25, June, August and October at 21; compared to its 26-week average of 25.

VIX methodology for Apple (VXAPL) @ 25.89, compared to 50-day moving average of 22.38 cboe.com/VXAPL

Facebook (FB) is up $2.92 to $64.20 after reporting better than expected Q1 financial results, mobile daily active users totaling 609M, and the company’s revenue from advertising grew 82% to $2.27B, with 59% of its ad revenue coming from mobile. April weekly call option implied volatility is at 153, May is at 59, July is at 46; compared to its 26-week average of 45.

Qualcomm (QCOM) is recently down $3.17 to $77.53 in the premarket after reporting profits that beat expectations on revenues that missed estimates. Qualcomm also disclosed receipt of a “Wells Notice” from the Securities and Exchange Commission that the SEC has made a preliminary determination recommending the filing of enforcement action against the company related to anti-bribery violations. April weekly call option implied volatility is at 62, May is at 23, June is at 19, October is at 18; compared to its 26-week average of 20.

Options expected to be active @ CBOE: AAPL GM FB AMZN SIRI QCOM TXN BIDU VZ ZNGA

CBOE S&P 500 PutWrite Index (PUT) at 1414.70 compared to its 10-day MA of 1402.27 and its 50-day moving average of 1398.51. cboe.com/PUT

CBOE S&P 500 BuyWrite Index (BXM) at 1053.04, compared to its 10-day moving average of 1042.54 cboe.com/BXM

CBOE DJIA BuyWrite Index (BXD) at 261.64, compared to its 50-day moving average of 257.53 cboe.com/micro/bxd/

CBOE S&P 500 Short-Term Volatility Index (VXST) at 12.67, compared to its 10-day moving average of 14.12. VXST is a market-based gauge of expectations of 9-day stks.co/r0CS2

iPath S&P 500 VIX Short-Term Futures (VXX) down 39c to 40.61

CBOE Volatility Index (VIX) at 13.27, compared to its 10-day moving average of 14.57 and its 50-day moving average of 14.53 cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is up 1.11 to $188.56 as Apple financial results, dividend and stocks split energized investors.

Calls with increasing volume at CBOE:

TMUS 5/17/2014 31 25K contracts
SMFG 7/19/2014 10 21K
QQQ 5/2/2014 88.50 15K
SVU 7/19/2014 7 13K
SPY 5/17/2014 195 13K
CSCO 5/17/2014 24 10K
EFA 6/21/2014 71 7K
C 1/17/2015 50 7K