A massive block of puts traded on the Emerging Market ETF a few minutes ago on the Amex as a trader paid 62cents for 100,000 June 37 puts to open a new position as the ETF traded near $42.59. Total premium outlay was $6.2million and the position may hedge notional value near $426 million for the next 30days. This is the largest block to trade in EEM since Feb 3rd when half a million puts traded, including the March 39-43 put fly 100,000x for 30.5cents. With last Friday’s 44.09 close, that expired worthless. Hamilton Executions crossed the trade on the Amex.
About the Author (Author Profile)
Henry Schwartz is the president of Trade Alert LLC, a provider of real-time options analysis tools to leading Wall Street firms. His systems analyze hundreds of thousands of transactions per second to help professionals identify and interpret market activity in real time, supporting informed trading decisions and intelligent idea generation. He has held institutional trading and management roles with Bank of America, Bear Stearns, Salomon Brothers and the Hull Group, and made markets on the CBOE and AMEX floors in the US, and EUREX and MONEP overseas. Prior to founding Trade Alert, he led the electronic market-making group at Bank of America coincident with the launch of the International Securities Exchange. He received his bachelor’s degree in Economics from the University of California, San Diego and his MBA from NYU’s Stern School of Business.