U.S. Options - Advanced Micro Devices vols stay high
CHICAGO, April 6 (Reuters) - Implied volatility in options
for computer chip maker Advanced Micro Devices Inc.
remained high but options volume died down on Thursday as the
stock spiked to a new 52-week high.
New York Stock Exchange shares of Advanced Micro Devices
rose 3-3/8 to 71-3/8, off its new high of 74, on turnover of
about 3.7 million shares by midday Thursday.
The stock, which has been moving upward, also hit a new
52-week high on Wednesday at 69 before closing at 68, after the
company said it expects first-quarter sales to top $1 billion.
Implied volatility for the April 70 calls stood at around
98 to 100 percent, unchanged from Wednesday's levels, said Tom
Shanahan, designated primary market maker with KFT DPM at the
Chicago Board Options Exchange.
The vols have been 98 to 100 (percent) during the last
couple of days," he said. "Yesterday afternoon, one large
institutional customer sold about 5,000 to 6,000 April 65 puts
when the stock was around 67 or 68."
One of the busiest options was the April 70 calls on the
Pacific Exchange, which rose 1-7/8 to 6-5/8 on Pacific Exchange
turnover of 1,056 contracts and open interest of 4,115 at 11:49
a.m. CDT (1649 GMT).
Although options volume was "surprisingly light" on
Thursday, it has been busy over the past few sessions, the
market maker said.
On Wednesday, 27,454 contracts traded, of which 16,752 were
calls and 10,702 were puts, up from its recent average daily
volume of 11,536 contracts.
((Doris Frankel, Chicago Derivatives Desk(312)408-8750
chicago.derivatives.newsroom@reuters.com)) |
