Options Flow Recap June 20th

Macro / Thematic

KBE SPDR KBW Bank (ETF) - 40,000 of the December 30 Calls were bought for $0.10. Also, A block of 10K Dec 26/28 call spread was sold at .33.  They do not looks to be connected. KBE holds the largest banks, including JPM, WFC, C and BAC.

XLF Financial Select Sector SPDR (ETF) - 15,000 of the December 19 Calls were bought for $0.05.

USO United States Oil Fund LP (ETF): 2000 wkly 38 calls trade on the offer for .15.

EWT Ishares MSCI Taiwan Index Fund - two block trades as much as 15K Dec 14 puts bought for .74 at -35 delta, which looked like opening transactions.  Overall, 18K puts traded, or 6 times its usual put volume, versus only 286 calls.  It could be protection pursued by investors amid worries of Mainland China stock market, which has been sliding since April 18.

VIX saw 69% the normal volume with 182K calls and 104K puts traded.  Some larger trades in the pit:

·         Seller 10,000 July 20 calls at 2.80 (50%), 2.575 (50%)
·         Buyer 7,500 Sep 20 puts for 1.65
·         Buyer 6,000 Aug 35 calls for .775

Consumer

EK Eastman Kodak Company – 20,000 of the July 3.5 / 5 1x2 call back spread traded 10,000 x 20,000.  With 10k of the July 3.5 calls being sold at $0.40 and 20k of the July 5 calls bought for  $0.08.

GM General Motors Company – 15,000 of the July 31 calls were sold at $0.31. The trade was tied to 280,000 shares at $29.50.

HANS Hansen Natural Corporation - 5000 of the September 75 / 80 call spread were sold at $1.575.

LVS Las Vegas Sands Corp. – 10,000 of the July 37 puts were sold at $1.24 versus 400,000 shares at $37.80.

RCL Royal Caribbean Cruises Ltd. – 3700 of the July 34 puts appeared to have been bought for $1.62. The trade was an opening position.

JCP J.C. Penney Company, Inc.  – 3500 of the July 36 calls were bought for $0.91.

Energy

WFT Weatherford International Ltd. – Nearly 5500 of the November 20 calls were bought for $0.80. The trade is an opening position.

WMB Williams Companies, Inc. – 10,000 of the August 30 calls were sold at $0.68.

Industrials / Materials

MAS Masco Corporation – 6400 of the July 13 calls were bought for $0.15 in a multi exchange sweep.

RKT Rock-Tenn Company  – 2000 of the January’12 80 calls were bought for $1.95. The calls were bought to open.

Tech

CRUS Cirrus Logic, Inc. – 1600 of the September 18 calls were bought for $0.30. The options are ~30% out of the money and  the transaction appears to be to open.

XRX Xerox Corporation – 20,000 of the October 10 straddle was sold at $1.48.

VOD Vodafone Group Plc  – 2300 of the August 27 calls were sold at $0.75. The calls were sold to open.

Healthcare

DGX – 5000 of the July 60 / 65 strangles was bought for $1.00. The position appears to be to open.

No position at this time. Position declarations are believed to be accurate at time of writing but may change at any time and without notice.