It was a short week for the options market, but it had enough news to keep things interesting.
Here’s a look at some top stories from the week.
The VIX woke up at the week’s end, reaching heights last seen in the middle of the summer. The action came on fiscal cliff worries.?
After breaking through to 20 on Thursday, the VIX closed at 19.60 and stayed about the same on Friday with its 19.50 close.
Will it head higher next week?
Barron’s:?VIX Stretches, Yawns, Breaks 20 for First Time Since July?and CNN:?Bracing for more fiscal cliff volatility: VIX rallies
The ICE – NYSE Euronext merger continued to dominate headlines. Top stories this week included: Bloomberg’s?NYSE Was Overtaken by Something It Never Saw Coming;?the market’s move toward derivatives in this Forbes piece,?The Takeover of the NYSE Signals The Age of Derivatives Over Stocks?and the exorbitant fee ICE will have to pay if the deal fails with FINCAD’s, ICE agreed to pay $750 million termination fee to NYSE if deal fails.
Other top options stories includes this Friday piece by Dow Jones Kaitlyn Kiernan about an options bet on the?Technology Select Sector SPDR Fund (XLK).
MF Global returned to the news with it settled legal dispute with a U.K. affiliate that will bring in $500 million to $600 million to the firm. Look for subsequent customer payments after the settlement is approved by a judge.?
Here’s Bloomberg’s take with,?MF Global $500 Million Pact Heralds Customer Payments.
And to end the week where it all began, with Monday’s announcement that NYSE Euronext’s European cash markets will continue clearing through?LCH.Clearnet?for six more years.?
Financial News story,?NYSE and LCH ink cash clearing deal