Blogging Options: CBOE Morning Update 6.30.14

End of Quarter.  At this level, SPX & DJIA up 6 consecutive quarters.  Hasn’t happened in a while.  Friday 7/4 a trading holiday, but a bunch of data this week.  Overseas markets mixed. GM had another 400k cars recalled, Mankind (up $1) got good news from the FDA. Volatility as an asset class:

Yahoo (YHOO) is up $0.62 to $34.87 in the premarket after being upgraded to Overweight from Neutral at Piper Jaffray.  Piper says YHOO stake in Alibaba undervalued at current levels and expects shares to move higher as Alibaba’s initial public offering nears. The price target for Yahoo shares was raised to $43 from $37. Overall option implied volatility of 36 is near its 26-week average of 34.

InterOil (IOC) up $0.20 at $62.85, the energy explorer will sell its Papua New Guinea oil refinery and petroleum distribution business to Puma Energy for $526M, in order to put a greater focus on its natural gas business. Overall option implied volatility of 36 is below its 26-week average of 40.

YPF SA closed at $33.41 into the state controlled energy company being affected by Argentina entering a state of technical default today. July call option implied volatility is at 81, August is at 61, October is at 55, January is at 46; compared to its 26-week average of 49.

Options expected to be active @ CBOE: YHOO MNKD AAPL IOC GM YPF

CBOE S&P 500 BuyWrite Index (BXM) at 1079.14, compared to its 10-day moving average of 1078.39

CBOE S&P 500 Short-Term Volatility Index (VXST) at 10.65, compared to its 10-day moving average of 11.14. VXST is a market-based gauge of expectations of 9-day

iPath S&P 500 VIX Short-Term Futures (VXX) is recently up 9c to 28.95

CBOE Volatility Index (VIX) closed at 11.26, compared to its 10-day moving average of 11.43 and its 50-day moving average of 12.28.

CBOE Nasdaq-100 Volatility Index (VXN) at 12.03, 50-day MA 15.02

SPDR S&P 500 ETF Trust (SPY) is down $0.29 to $195.53 into the last day of quarter.

Calls with increasing volume at CBOE:

SPY 6/27/2014 196 30K contracts
YHOO 8/16/2014 41 22K
VXX 8/16/2014 30 18K
IR 8/16/2014 65 11K
AAPL 6/27/2014 91.43 10K