1. XLF – Short dated call volume continues to dominate the flow. The Dec 27th weekly 21 calls continue to be bought as over 100,000 traded today with lots trading for .43, after yesterday’s action that saw 84,000 trade hands.
2. YHOO – Paper bought 5500 of the Jan 40 calls for 1.18 and sold 3000 Jan 38 calls at 2.11, crossed all. Also, a trader bought the Jan 43/34 risk reversal around 20k times paying .11.
3. MSFT – The Dec 39 calls traded over 100k on the day, at an average price of 0.37 (prior open interest around 47k). Total options volume around 3x one month average volume.
4. T – Someone paid .18 outright for the Dec 35 calls, 33,000 times. T closed at its lowest level since mid-October.