Options Market Statistics: Tesla, Nvidia Lead Tech Sell-Off, Options Pop
News Highlights
$NVIDIA(NVDA.US$ ended 5.57% lower. Its options trading volume was 6.66 million. Call contracts account for 61.2% of the total trading volume. The $135 calls expiring July 12 were traded most actively.
U.S. stocks declined on Thursday as investors shifted away from tech stocks following a key inflation report showing an unexpected month-over-month decrease in consumer prices for the first time since 2020. The $S&P 500 Index(.SPX.US$ fell 0.9%, dropping below 5,600 after surpassing the level on Wednesday. The $Dow Jones Industrial Average(.DJI.US$ rose slightly by nearly 0.1%, while the tech-heavy $Nasdaq Composite Index(.IXIC.US$ led the decline, falling almost 2%.
Big Tech faced significant sell-offs, with Nvidia dropping over 5% and the "Magnificent 7" experiencing their worst day in nearly a year. Tesla shares fell more than 8%, ending an 11-day winning streak, due to a report on the delay of its robotaxi unveiling.
Investors moved towards rate-sensitive sectors such as Real Estate and Utilities after June's lower-than-expected inflation print. The Consumer Price Index (CPI) declined 0.1% from the previous month and rose 3.0% year-over-year, marking the slowest annual increase since early 2021.
Stock gains earlier in the week were driven by Fed Chair Jerome Powell's comments suggesting that conditions were nearing readiness for interest-rate cuts. The latest inflation data strengthened bets on a rate cut by September, with around 90% of traders expecting this outcome according to the CME FedWatch tool.
$Tesla(TSLA.US$ ended 8.44% lower. Its options trading volume was 4.99 million. Call contracts account for 54.2% of the total trading volume. The $270 calls expiring July 12 were traded most actively.
$American Airlines(AAL.US$ ended 3.77% lower. Its options trading volume was 0.31 million. Call contracts account for 51.1% of the total trading volume. The $11 calls expiring July 12 were traded most actively.
Airline stocks declined following weak earnings reports from $Delta Air Lines(DAL.US$. Despite strong summer travel and consumer spending meeting expectations, Delta's CEO indicated that an increase in available seats may have led to lower-than-expected operating profit and earnings, missing analyst estimates.
Unusual Stock Options Activity
There was a noteworthy activity in $Nu Holdings(NU.US$, where multiple calls have topped volume to open interest ranking. The highest volume over open interest ratio reaches 95.4x with 25,176 contracts.
Daily Active Index & Sector ETF Options
Source: Barchart, Unusual Whales, The Guardian, Bloomberg
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