Very quiet day in the ETFs today, with 1.8 million puts and 1.1 million calls traded across all products so far, which is only about two thirds the typical volume. One noteworthy trade is in the CurrencyShares Euro Trust (FXE), which is trading down $1.26 to $135.74. One investor bought the Jan 110 – 120 put spread on the fund for 48 cents, 10000X. The spread seems bearish, as the max payoff happens if shares fall to $110 through the January expiration, which equates to about 1.1 (~19.3%) on the EUR/USD pair. The euro is down .9 percent to 1.3625 on the buck after data showed Industrial Production falling in the Eurozone in September at its fastest pace since 2009.
Category: All ETFs
About the Author (Author Profile)
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.