MARKET TALK: Mini Options Begin Trading on 5 High-priced Stocks:
MM's apparently are looking ti steal more money from investors.
"Mini Option--contracts that grant the right to buy or sell 10 shares rather than the traditional 100--start trading today with modest activity. Thirty minutes into the day's action, minis on the SPDR S&P 500 ETF (SPY) were the most active by far with 915 contracts exchanging hands. That corresponds with about $1.4M worth of SPY shares. Meanwhile, volume on Apple (AAPL) was 357 contracts, versus 18 for Google (GOOG), 16 for Amazon (AMZN) and 15 for the SPDR Gold Trust ETF (GLD). AAPL and GLD are both higher today amid some safe-haven buying while GOOG and AMZN fall more than the broader market ."
(END) Dow Jones Newswires
Last update: 3/18/2013 10:12:40 AM
March 18, 2013 10:12 ET (14:12 GMT)
Well, I would like to sell some AAPL covered calls but I'd have to sell them too far out to have them expire above my basis. How's that for saying I'm an idiot and bought AAPL too early in its correction, but at least not way too early.
I appreciate the flexibility of the mini options. I'd put the geniuses who came up with securitized debt in prison, especially securitized mortgage debt, but sometimes those masters of the universe come up with useful financial tools.