Unusual Options Activity Update: BBY, XLF, XLB, XHB, WMT, NTAP, MBI
Implied Volatility Mover
Implied volatility in the options on Best Buy (BBY) is moving higher as shares of the electronics retailer fall to new 52-week lows today. BBY is down 30 cents to $18.62 and has lost 30 percent since earnings were reported in late-March. It seems that some players in the options market are bracing for additional volatility in the stock, as 18,000 puts and 5,390 calls traded in BBY today. May 18 and 19 puts are the most active and implied volatility is moving up 16 percent to 63.5, which is new 52-week highs for IV in Best Buy options.
Volume Signals
SPDR Financials (XLF) options volume is running 4X the (22-day) average, with 518,000 contracts traded and put volume accounting for 89 percent of the volume.
SPDR Basic Materials(XLB) options volume is 3X the average daily, with 110,000 contracts traded and put volume representing for 97 percent of the activity.
SPDR Homebuilders (XHB) options volume is running 3X the average daily, with 42,000 contracts traded and put volume accounting for 89 percent of the activity.
Increasing options activity is also being seen in Walmart (WMT), NetApp (NTAP), and MBIA (MBI).
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