Since most of the open interest is in the May term, it is probably related to the drug study results later this month. Fred Ruffy More Quotes by Fred Ruffy More Quotes From Fred Ruffy I think some of these are institutional people positioning to play this as part of a risk arbitrage if the deal moves forward. Fred Ruffy business Participants are bracing for a bit more volatility than in past quarters. Fred Ruffy business This is a sign that portfolio managers are concerned about downside risks and paying a premium for portfolio protection. Fred Ruffy company-news It will probably see some interest due to the volatility and the new listing. Fred Ruffy business It might be nothing more than lucky timing. On the other hand, news of the deal might have been leaked and motivated the call buying in Kraft. Fred Ruffy company-news Overall, call buying seems to be driving a lot of the order flow in both names as players in the options market take positions in anticipation of additional upside for shares in the days/weeks ahead. Fred Ruffy company-news The stock suffered such a big sell-off that the logic might be: 'Well, if it recovers even 20 percent of the losses, that translates to a substantial move higher from current levels,'. Fred Ruffy business
