Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : Home on the range where the buffalo roam -- Ignore unavailable to you. Want to Upgrade?

To: DOUG H who wrote (4581)	9/2/2000 2:43:45 PM
From: T L Comiskey	Respond to of 13572

Must have used the psychic hot line.... partial story BARRON'S: The Striking Price -- Low Gear Dow Jones Newswires Playing Subdued Volatility By Erin E. Arvedlund -- Who was the lucky investor with the foresight to buy call options right when Emulex's stock hit a temporary ditch last week? Stick around, we may soon find out. By now everyone knows that federal authorities nabbed the El Segundo, California, college student who was losing money shorting Emulex shares, and, in an attempt at covering his losses, allegedly issued a false press release to push down the stock price. But there was no mention of the suspect using the options market to benefit from the stock's subsequent recovery. So authorities are likely still looking for the person or persons who bought call options knowing the stock was being manipulated and was set to recover. Emulex's stock fell as low as $43 from the previous day's closing of $113.06 on the false "news" that the company's chief executive had resigned and the SEC was investigating the company. That day, one buyer of Emulex calls did quite well, hitting the Pacific Exchange's electronic trading network with six orders for call options, according to traders on the floor. Each order was what is known as a "20-lot," or 20 contract. So the investor bought 120 call options in all, covering 12,000 shares, floor sources said. Potential profits could have run into the millions. The Chicago Board Options Exchange said its investigation into Emulex options trading that day is "ongoing." -- Watch those seat prices wiggle! The CBOE last week said it is no longer interested in exploring a merger with the Chicago Board of Trade. That suggests the business strategies of the two exchanges, including a planned switch to electronic trading, will remain mired in an ongoing dispute. Owners of CBOT seats could now lose their right to trade on the CBOE, so Board of Trade seat prices could drop. Conversely, expect prices for seats on the CBOE to tick up. The CBOE said it would ask the SEC for an interpretation of the rules concerning the right of full CBOT members to exercise trading rights at the options exchange. Briefing Book for: ALA \| AMAT \| BRCM \| CIEN \| CRUS \| CSCO \| EMLX \| IBM \| JNPR \| QCOM \| YHOO