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Technology Stocks : Boeing keeps setting new highs! When will it split? -- Ignore unavailable to you. Want to Upgrade?

To: P.M.Freedman who wrote (2342)	6/25/1999 10:40:00 PM
From: Ian	Read Replies (1) \| Respond to of 3764

US OPTIONS - Call volume up in Boeing on GE talk CHICAGO, June 25 (Reuters) - Call volume picked up Friday in options on Boeing Co (NYSE:BA - news) on a rumor that General Electric Co. (NYSE:GE - news) might buy the aircraft maker, although GE said it was not interested. ''It comes up from time to time,'' said GE spokesman Bruce Bunch in response to an inquiry about the talk. ''Boeing is a great customer, but we have no interest in buying them.'' Boeing declined to comment on the rumor. Volume rose Friday in Boeing options on the Chicago Board Options Exchange, with calls most active. By 1410 CDT/1910 GMT, roughly 5,700 calls and 685 puts had changed hands, above last month's volume range of about 4,300 to 4,800 contracts, said Paul Foster, investment strategist, 1010wallstreet.com. He figured a buyout of Boeing by GE ''makes sense.'' ''There's a valuation thing,'' he said. ''But it doesn't mean the deal's done today or the deal's done next week.'' Some call buyers entered on Friday, but Boeing stock's lackadaisical historical performance also meant that premium sellers tended to step in whenever the stock showed life, and they capped the upside in implied volatility. ''The vol hasn't moved at all,'' said Mike Hoban, market maker in Boeing options. ''It's pretty much been in a range between 32 and 34 (percent).'' ''The winners in Boeing over the last six years have been premium sellers,'' added Foster. ''It's a straddle stock - it just hangs, hangs, hangs.'' In the most-active July 45 calls, which rose 11/16 to 1-3/16, volume by late Friday was 1,867 contracts on open interest of 2,576. On Thursday, that call traded only 117 contracts.