Blogging Options: CBOE Mid-day Update 4.28.14

Volatility as an asset class

Bank of America (BAC) is recently down 85c to $15.10 after suspending capital actions, including repurchase authorization. May weekly call option implied volatility is at 34, May, June and August is at 24; compared to its 26-week average of 25.

Apple (AAPL) is recently up $16.86 to $588.90 the company is preparing for another $17B or so of domestic and international bond sales to fund its recently increased stock buyback plans, reported Financial Times. May 2 weekly option implied volatility is at 25, May is at 19, June is at 20, August and October at 19; compared to its 26-week average of 25.

Charter Communications (CHTR) is recently up $7.91 to $137.92 on Comcast (CMCSA) announcing the divestiture of 3.9M video customers to Charter. May call option implied volatility is at 27, June and September is at 25; compared to its 26-week average of 27.

Actives at CBOE:  AAPL TSLA P ZNGA CLF AMZN FB BAC TWTR NFLX

Stocks with increasing volume: POZN FSL WAT MDLZ HMSY PQ NRF DBD NKTR

CBOE S&P 500 Short-Term Volatility Index (VXST) up 8.9% to 15.18; compared to its 10-day moving average of 13.67. VXST is a market-based gauge of expectations of 9-day volatility stks.co/r0CS2

CBOE DJIA BuyWrite Index (BXD) up 0.3% to 261.11, compared to its 50-day moving average of 258.02. cboe.com/micro/bxd/

CBOE Volatility Index (VIX) up 3.2% to 14.51. VIX May 16, 20 and 21 calls are active at CBOE on 161K contracts cboe.com/VIX

iPath S&P 500 VIX Short-Term Futures (VXX) down 30c to 41.53

CBOE DJIA Volatility Index (VXD) up 2.9% to 13.45; compared to its 50-day moving average of 13.74.

CBOE Nasdaq-100 Volatility Index (VXN) up 4% to 19.34; compared to its 50-day moving average of 17.31

S&P 100 Options (OEX) recently up 2.64 to $828.26 as stocks fluctuate on takeovers and Apple trading at a 15-month high.