Friday’s total option volume of 15.9 million contracts resulted in net open interest growth of 2.61 million calls and 2.67 million puts. Intel Corporation (INTC), News Corp New (NWSA), Facebook Inc (FB) and Bank of America Corporation (BAC) saw the greatest growth. Top five new positions opened include 61k Intel Corporation (INTC) Jan-14 20 puts, 50k News Corp New (NWSA) Jan-14 30 calls, 50k News Corp New (NWSA) Jan-14 35 calls, 35k TJX Companies Inc (TJX) Feb-13 45 calls and 25k Cheniere Energy Inc (LNG) Jun-13 25 calls.
43K calls traded in Liberty Media (LBTYA) on Friday which was 145x normal volume. 25000 Jan 60 calls were sold on the media company at $7.50 per contract to buy 10,000 Jul 75 calls for $1.50 and 7500 July 70 calls for $3.20. The activity appears to be rolling, and closing out a position in Jan 60s opened on 9/21 for $1.95. Shares have rallied more than 15 percent since that time and much of the premium is now being allocated to Jul upside calls on LBTYA.
There was a buyer of 10,000 Xerox (XRX) Jan 7.5 calls. These calls expire on Friday and earnings are scheduled to be released on Jan 24. On Jan 11, the company announced the CFO is leaving effective February 28 to become the controller at Apple (AAPL).
Facebook (FB) has rallied from the high teens to the low thirties. Zynga (ZNGA) traded up on 30 million shares on Friday. 23,000 calls and 3,670 puts traded in the name, led by Jan 2.5 calls. Volume in the contract was over 11K. ZNGA is a Facebook ecosystem game maker.