LyondellBassell Industries (LYB), a Rotterdam-based specialty chemicals company, finished the day up 85 cents to $38.95 and two noteworthy spread trades surfaced in the name Tuesay. One investor initiated a Sep 40 – 46 (1X2) call ratio spread at $1 even, 6500X. The spread looks opening and was not tied to stock. Another player bought the Jun 39 – Sep 45 call spread at 52.5 cents, 10000X. The position also looks opening and tied to 220K shares at $38.50. The company announced today that it will present at a Goldman Sachs material conference on May 24. Shares have not performed well month-to-date, falling 19 percent from a 52-week high of $48.12 set on May 2. Today’s spread traders seem to be anticipating a rebound in LYB in the months ahead.
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Frederic Ruffy is a well-known trader, writer, and strategist who has spent years educating investors and creating intelligent, insightful, unbiased market observations that are frequently cited by the Wall Street Journal and other financial publications. As senior analyst, Fred provides frequent and regular notes and daily updates for activity of interest.