CINCINNATI, Sep 29, 2009 (BUSINESS WIRE) -- Call traders are piling positions on American Capital Agency Corp. (NASDAQ: AGNC) this afternoon, despite a lack of any headline news. Taking stock of the activity, AGNC's October 25 call has seen more than 11,400 contracts trade on open interest of just 385 contracts, while the December 22.50 strike has attracted volume of 15,600 contracts on open interest of 521 contracts.
Furthermore, the December 25 strike has pulled in volume of more than 20,000 contracts, with open interest standing at 847 contracts, while the March 2010 22.50 and 25 calls have both seen roughly 7,000 contracts trade.
At $23 would put yeild over 24%.....i will buy...how many will you sell me.....solid yields over 20, or 15 or 12% for that matter are getting very scarce so i am looking at lots of investments in the 8 to 10 range...beats cd etc types. bought lots of etfs yeilding 30 plus in the past...sure wish i had kept some...at my age of 75, hindset is not much use cause mostly i can not remember exactly , but i once had 14% tax free munis and still regret selling...i think in the 80's, now buying munis in the 5 to 7 range yeild and glad to get them....hts up 80+% this yr...agnc well on the way to a big winner too....both 100% agency...anyone know about cys..may be next one..ex is 10/30 approx....please share if you know ...thanks ...i pray for all sensible, sane investors.....gave up craps about age 35
What are the advantages of CMO over AGNC? There was huge institutional buying of CMO leading up to the Sept ex-div date and I wonder what they see as the attraction? I do own both cmo and agnc, but I'd like to get your take on the two. cmobc was a 5x bagger for me, bought at an average price of 22 cents then sold most of it at $1.10 and kept enough contracts to create a nice cmo position with by excercising them down the road.