Peer's Earnings Help Drive Put Activity on United Parcel Service, Inc. (UPS)

Discussion in 'The Latest UPS Headlines' started by cheryl, Mar 19, 2009.

  1. cheryl

    cheryl I started this. Staff Member

    Peer's Earnings Help Drive Put Activity on United Parcel Service, Inc. (UPS)

    Not only were options traders betting on a decline in FedEx Corporation (FDX) ahead of its earnings report, they were also bearishly aligning themselves toward rival United Parcel Service, Inc. Yesterday, UPS saw almost 24,000 puts change hands, nearly quintupling its average daily volume of fewer than 5,200 pessimistic positions. Most of the activity centered on the soon-to-expire March 45 put, which saw more than 5,000 contracts added to open interest overnight. This strike is now home to peak put open interest in the front-month series, with roughly 14,000 contracts in residence.