Midday Unusual Options Activity Update: VVUS, SIRI, MS, BBY, TEVA, SVU
Implied Volatility Mover
Vivus Pharmaceuticals (VVUS) is down 82 cents to $22.10 and options volume on the biotech is running 4.5X the daily average after a PDUFA date for the companyís QNEXA obesity drug was extended out an additional three months ñ to July 17 from April 17. The news triggered a flurry of activity in the April, May and June calls on the stock, which will be expiring before the new PDUFA date. Players were possibly selling to close positions on the news, as levels of implied volatility in VVUS options are down 65 percent to 69.
Volume Signals
Sirius Satellite (SIRI) options volume is running 14X the (22-day) average, with 222,000 contracts traded and call volume accounting for nearly 100 percent of the volume.
Morgan Stanley (MS) options volume is 2.5X the average daily, with 146,000 contracts traded and put volume representing for 69 percent of the activity.
Vivus Pharmaceuticals(VVUS) options volume is running 4.5X the average daily, with 118,000 contracts traded and call volume accounting for 70 percent of the activity.
Increasing options activity is also being seen in Best Buy (BBY), TEVA, and Supervalu (SVU).
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