Here is an article from the Wall Street Journal this afternoon.
Cisco Systems Inc.
Dow Jones Newswires -- February 1, 1999
Options Report: Stock Splits, Earnings Take
Center Stage
By Steven M. Sears
NEW YORK (Dow Jones)--Cisco Systems Inc. and Dell Computer Corp.
took center stage Monday in the options market.
Traders hungrily bought out-of-the-money call options in anticipation of
stocks splits and better than expected earnings reports.
The Chicago Board Options Exchange's Market Volatility Index, or VIX,
gained 0.26, or 1%, to 26.79 in an otherwise quiet session.
Cisco is to report earnings after the close of Tuesday's session. A 2-for-1
stock split is expected.
Dell Computer doesn't report earnings until Feb. 16, but traders anticipate it
will mimic Microsoft Corp. and Intel Corp. and split its stock.
These expectations in both stocks translated into extraordinarily heavy
trading volume. Almost 79,000 Cisco options have traded. More than
111,000 Dell options have traded.
The most active calls in each class are Cisco's February 115 call and Dell's
February 100 call.
Cisco's call has gained 2 1/8 to 7 3/8 on volume of 10,706 contracts,
compared with open interest of 10,630 contracts.
Dell's call has gained 6 3/4 to 13 1/4 on volume of 14,169 contracts,
compared with open interest of 12,805 contracts.
- By Steven M. Sears; 201-938-5355
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