Thursday’s total option volume of 14.9 million contracts resulted in net open interest growth of 1.55 million calls and 1.52 million puts. Best Buy Company (BBY), Apple Inc (AAPL), Research In Motion Ltd (RIMM) and Facebook Inc (FB) saw the greatest growth. Top five new positions opened include 46k Sirius XM Radio Inc (SIRI) Dec-12 3 calls, 26k Clearwire Corporation (CLWR) Mar-13 3.5 calls, 26k Hewlett Packard Co (HPQ) Dec-12 15 calls, 25k Clearwire Corporation (CLWR) Mar-13 3 puts and 21k Anadarko Petroleum Corporation (APC) May-13 80 calls. In SIRI, we have seen bullish flow over the past few months. The company extended a deal with Hyundai Motors to offer satellite radio free for 3 months but there could be some other more important catalyst yet to be announced that is driving the options activity. On CLWR, Sprint is offering to buy the company for $2.90 per share.
In Radian Group (RDN), over 5K calls were bought in the Feb and May 5 strikes and in the Feb 6 strike. The company reports earnings on Feb 21. We will be watching Facebook today to see how the 140 million lock-up impacts the stock and our Dec put options.