Chop higher continues. Dow up 80, VIX slips to 23.55. Read More.

Cisco Systems (CSCO) made a late day run and is up 77 cents to $23 heading into the close. 20.4K CSCO Sep 23 calls traded. Premium buyers apparently driving a lot of the action, possibly looking for the rally to continue next week and before September options come off the board. After today, Sept options have six trading days of life remaining.

*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

Consolidated Edison (ED) is up 3 cents to $39.92 and a block of 1845 Sep 40 puts for 40 cents on the ISE was an opening customer buyer, according to sentiment data. 2051 contracts now traded.

Verizon (VZ) is up 44 cents to $31.33 and 13.1K Oct 32.5 calls traded today, compared to open interest of 18.4K. Looks like a mix of both buyers and sellers, with 53 percent hitting ask-side. Top trade is 1,179 contracts on the ISE for 29 cents. Implied volatility is up to 23, from 21.5 yesterday (52-week low = 21.2). The company presented today at the BofA/Merrill Media, Communication, and Entertainment conference.

Updated with link to story. US Airways (LCC) and some of the other airliners are seeing interest after JP Morgan upgraded LCC to Neutral and UAL Corp. (UAUA) to Overweight (link to story). LCC is up 55 cents to $4.13 and Sep 4, Dec 5, and Oct 5 calls are seeing early interest. UAUA gained $1.37 to $7.82 and 12K calls along with 5350 puts traded. Delta (DAL) is up 64 cents to $7.97 and 9200 calls along with 460 puts traded. Continental (CAL) rose $1.16 to $14.87 and 17K calls changed hands, compared to 1650 puts.

*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

Options activity is picking up in MEMC (WFR). Shares are up 58 cents to $17.08 and recent trades include two blocks totaling 5000 Oct 17.5 calls at the offer for $1 and $1.05. 15.6K now traded, compared to open interest of 8,174. Another 13.6K Sep 17 calls traded, some might be closing because the contract saw active trading last week and has OI of 22.75K. Shares sank Tuesday after MEMC lowered earnings guidance, but has recovered the losses over the past two days and now at two-week highs.

Talbot’s (TLB) is up $1.10 to $8.05 the day after reported earnings. Shares closed down 16 cents yesterday, but have since bounced higher after Citi upgraded the stock to Buy from Hold and Piper Jaffray upgraded TLB to Neutral from Underweight. Meanwhile, options activity in TLB is running 10X the usual. 6,164 Jan10 calls at the 5 line traded. 80 percent hit ask-side and the activity might be closing because open interest is more than 14K. 2242 Sep 7.5 calls traded, which might also be closing since OI is 2496. Implied volatility (average), which fell from 99 to 85 yesterday, is not much changed today.