Alcoa call volume spiked this morning as a buyer paid 1.06 for 10,000 12.5 strike calls expiring in Jan 2011. Shares currently near $12.84 and total open interest at the strike is the largest in the product, with 111279 contracts open. Much of the OI was created this summer when paper sold 40K for approx 80c as shares were near 11.66, so today’s buyer may be closing.

Research in Motion (RIMM) is leading the NASDAQ 100 gain, up another $1.75 to $53.50 following yesterday’s 5.5% gain. Notable trade today in the Jan.2012 $90 calls as 10,000 contracts trade at the 95c ask in what looks like an opening purchase.

AMD adds 27 cents to $7.16 and 23K calls traded in the chipmaker. The volume is 3X normal for midday and compares to put volume of 1,600 contracts. Nov 8 calls, which have traded 11,900x (62 percent ask), are the most actives. Nov 7 and Dec 8 calls are seeing interest as well. Implied volatility is up 7 percent to 44.5. AMD last reported earnings on Oct 14 and not much news since then. Today’s action seems to reflect expectations for gains in shares in the weeks head.

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

Savient Pharmaceuticals (SVNT) is reeling after the company said an evaluation of strategic alternatives did not result in the sale of the company at this time. The stock was halted and, after trading resumed, is off $10.18 to $11.52. About 12K puts and 6400 calls traded on the ticker. The top trade is a block of 1500 Nov 19 puts apparently bought at $1.20 before the news. The contract is now bid at $7.05. Nov 20 and 18 puts also saw interest this morning. Implied volatility is now up about 19 percent to 99.5.

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

Assured Guaranty (AGO) shares are off $2 to $19.28 and implied volatility is up 19.5 percent to 68 after S&P stripped the company of its triple A credit rating. It assigned the bond insurance company with an AA-plus rating. A couple of firms, including Piper Jaffray, are out defending the stock this morning. Meanwhile, 11K calls and 4535 puts traded in the name, including apparent Nov 20 – 23 call spread buyers on ISE. The top is 2000 at 95 cents. More than 4000 traded. Nov 17, 18 and 19 puts are busy as well. Attention shifts next to the company’s earnings, due around Nov 10.