Blogging Options: CBOE Morning Update 5.16.14

Housing Starts jumped to their best level in 5 months, but almost all of rise with rental properties. UofM Sentiment fell to 81.8% in May, down from 84.1%, and the 84.6 expected. Darden sells Red Lobster, Election results in India show pro-growth, pro-job candidate elected, their market surges. May Expiration today.  Volatility as an asset class:

Verizon (VZ) is up $1.05 to $49.03 on Berkshire Hathaway (BRK.A), Third Point and Paulson & Co disclosing stakes in the telecommunications company. Overall option implied volatility of 13 is below its 26-week average of 17.

Nordstrom (JWN) is up $7.02 to $68.51 following quarterly results and announcing that it will seek a financial partner for its credit card receivables. May call option implied volatility is at 36, June and July is at 21; compared to its 26-week average of 22.

J.C. Penney (JCP) is up $1.40 to $9.77 in early trading after reporting better than expected Q1 results. May call option implied volatility is at 120, June is at 64, August is at 56, November is at 52; compared to its 26-week average of 67.

Options expected to be active @ CBOE: WWE JCP RAX AMAT JWN FB CSIQ EBAY ABT VIX

Options expected to be active on India election results: IFN INP EPI IBN INFY TTM WIT REDF MMYT RDY SIFY CTSH

CBOE S&P 500 BuyWrite Index (BXM) at 1061.84, compared to its 10-day moving average of 1060.20 cboe.com/BXM

CBOE DJIA BuyWrite Index (BXD) at 263.64, compared to its 50-day moving average of 259.85 cboe.com/micro/bxd/

CBOE S&P 500 Short-Term Volatility Index (VXST) is off 0.35 in early trading to 13, compared to its 10-day moving average of 11.96. VXST is a market-based gauge of expectations of 9-day stks.co/r0CS2

iPath S&P 500 VIX Short-Term Futures (VXX) off 0.13 to 37.28

CBOE Volatility Index (VIX) is up 0.28 at 13.45, compared to its 10-day moving average of 12.94 and its 50-day moving average of 14.16 cboe.com/VIX

SPDR S&P 500 ETF Trust (SPY) is down 0.43 to $186.97 into economic data.

Calls with increasing volume at CBOE yesterday:
SPY 5/17/2014  189     55K contracts
PBR 6/21/2014   16      24K
IWM 5/17/2014 108.50 21K
EEM 6/21/2014  43.50  20K