PFE, still dealing with the mess from Allergan, saw an odd put trade executed today.
Pfizer Inc., trading 31.97 with an IV30 of 19.85 and an HV10 of 32.5, and is still dealing with the mess from Allergan, saw an odd put trade executed.? A customer sold 70,000 of the Jan 2017 28 puts at .95 then against it the customer appears to have also sold the Jun 2017 33 and 34 puts at 1.63 and 2.40 respectively.?
Given the open interest in the Jan 2017 28 strike (over 200,000) this may simply be a repositioning of risk hedging. ?And given the odd pricing of the structure it?s possible that the June was in fact bought.?? Either way a large amount of hedging appears to have been reduced an apparently re positions.
This trade should be considered bearish volatility and neutral the stock.