Implied Volatility Mover
Implied volatility in the options on KB Homes (KBH) is easing, as shares of the homebuilder rally to new 52-week highs on earnings news. Shares are up $1.14 to $14.25 after the company reported a quarterly profit of 4 cents per share. Analysts were expecting the company to report a 16-cent per share loss. Revenues were slightly better than expectations. The stock is up on the news and options volume is running 3X the daily average. About 20,000 calls and 6,000 puts traded in KBH so far. September 14 and October 12 calls are the most actives, and implied volatility is down 17.5 percent to 51.5.
Volume Signals
Oracle (ORCL) options volume is running 2X the (22-day) average, with 115,000 contracts traded and call volume accounting for 63 percent of the volume.
EMC options volume is 2.5X, the average daily, with 91,000 contracts traded and put volume representing for 79 percent of the activity.
Masco (MAS) options volume is running 41X the average daily, with 44,000 contracts traded and put volume accounting for 97 percent of the activity..
Increasing options activity is also being seen in Skyworks Solutions (SWKS) and JDS Uniphase (JDSU).
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