Bearish trading in a trucking company, a homeland security play, weakness in commodities, and a bullish biotech bet.

MP3 File

MannKind (MNKD) is up 2 cents to $8.53 and, in morning trading Wednesday, an investor buys 3000 Feb 10 calls at $1.15, sells 1500 Feb 12.5 calls at 60 cents, and sells 1500 Feb 15 calls at 40 cents. This might be a roll or closing, as open interest is sufficient to cover in all three contracts. On the other hand, it might be a bullish spread ahead of the company’s Jan 16 PDUFA date for rapid acting Insulin, Afresa. (I will discuss this spread a little more in today’s podcast.)

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

Tessera Tech (TSRA) is down $1.95 to $21.94 after the ITC ruled that the company’s three patents are valid, but that the company’s expert was insufficient to prove infringement on two of the asserted patents — link to story. Shares are lower and options volume is 9X the average daily, with sellers of Jan 22.5 puts and calls leading the flow. About 5,500 traded (70 percent bid-side) and implied volatility is falling to the mid-40s, down 14 percent, now that the event risk has passed.

Update. After evacuating the NASDAQ due to a suspicious van parked outside, NYPD is letting employees back in — CNBC.

Area around NASDAQ being cordoned off because of suspicious van in area — CNBC. This appears to have put some pressure on the major averages, which were flat before the news broke. NASDAQ being evacuated.

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

Origin Agritech (SEED), sees a morning spike on news it has completed a Second Notes Repurchase Agreement as of today with Citadel. Investors seem to like the news (short covering is helping as 27 percent of SEED is held short) and the stock is up $1.17 to $10.85. Options action is heating up as well, with 3790 calls and 905 puts now traded. Jan $10, 11, 12.5, and 15 (2010s) are the most actives.